Michael Holder and James S Murray / Business Green »

The shift to electric passenger cars could deliver a £24bn boost to the UK economy over the next five years, but the automotive industry and its supply chains must ramp up capacity 10-fold in order to meet growing demand, a joint government and industry backed report today estimates.

It estimates the growth in demand for electric cars has the potential to provide a £12bn boost in the UK market for batteries, £10bn of increased demand across the power electronics market, and a £2bn boost for electric machines by 2025 alone.

The findings come in a new report released today by the Advanced Propulsion Centre (APC), a joint government and industry backed research and development venture which was set up in 2013 to help accelerate the shift to net zero road transport.

Report » Opportunities in passenger car electrification by Advanced Propulsion Centre (APC)