Industry News: Engine production set to hit all time high.


Massive investement with new factories such as i54 at Wolverhampton allied to a growing economy are boosting production in the UK.
Massive investement with new factories such as i54 at Wolverhampton allied to a growing economy are boosting production in the UK.


UK engine manufacturing turnover expected to increase by £2.5 billion to £10.5 billion by 2016.

Annual engine output set to surpass three million units.

£1 billion invested in UK engine production since 2011.

The revenue generated by engine manufacturing in the UK is expected to increase by up to £2.5 billion in two years, increasing turnover by nearly a third (31%). Over £1 billion has been invested in UK engine production since 2011 and forecasts suggest that the value of engine manufacturing will increase to £10.5 billion by 2016.

The industry has seen a spate of new investments come to fruition this year alone. Jaguar Land Rover’s £500 million Engine Manufacturing Centre in Wolverhampton, which officially opens today, as well as Ford’s £490 million low carbon engine development in Dagenham are helping ensure the UK is at the cutting edge of powertrain development and production. Development programmes like these will help total UK engine output surpass three million units per year, increasing volumes by more than a fifth over current levels.

Mike Hawes, SMMT Chief Executive said, “Recent events, such as the opening of Jaguar Land Rover’s new engine facility and Ford’s new engine range are clear evidence of the UK automotive industry’s intention to become a leading force in the design, development and manufacture of engines.

“The recent success is testament to the expertise of UK engineers, a flexible workforce and the competitive and supportive business environment. It will create more jobs, bolster the supply chain and help attract overseas suppliers back to UK shores.”

In 2013, the UK produced 2,553,316 engines, of which 60% were exported to overseas markets. Overall, UK automotive manufacturing generated £64 billion turnover last year, adding £12.4 billion to the economy. More than 770,000 UK jobs are dependent on the sector, which has seen nearly £13 billion investment announced since 2011. In the coming years, UK car manufacturing is expected to surpass the current record production level of 1.9 million units in a year, which was set in 1972.

About SMMT and the UK automotive industry
The Society of Motor Manufacturers and Traders (SMMT) is one of the largest and most influential trade associations in the UK. It supports the interests of the UK automotive industry at home and abroad, promoting a united position to government, stakeholders and the media.

The automotive industry is a vital part of the UK economy accounting for more than £64 billion turnover and £12 billion value added. With more than 160,000 people employed directly in manufacturing and in excess of 770,000 across the wider automotive industry, it accounts for 10% of total UK export of goods and invests £1.9 billion each year in automotive R&D. More than 30 manufacturers build in excess of 70 models of vehicle in the UK supported by around 2,500 component providers and some of the world’s most skilled engineers.

More detail on UK automotive available in SMMT’s Motor Industry Facts 2014 publication at

One comment

  1. Shame that JCB’s engine and vehicle production cannot appear in the figures, or New Holland tractors, or all the other UK offhighway manufacturers.

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