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Nissan and McLaren to invest in building cars in the UK

A double helping of good news for British car manufacturing as Nissan and McLaren both invest millions

Nissan to build a new model in Sunderland

Nissan has announced it will be investing £170m to build a new model for Europe at its UK plant in Sunderland. The Nissan Kicks will be joining the production line alongside the Juke, Qashqai and Leaf which are also manufactured at the facility. The Kicks is a compact crossover featuring Nissan’s e-Power hybrid technology and it is currently sold in over 70 countries world-wide, but now it is coming to Europe for the first time.

This year Nissan’s Sunderland plant celebrates its 40th anniversary and commenting on the announcement Jonathan Reynolds, Secretary of State for Business and Trade, said: "Nissan has been at the heart of British manufacturing for four decades, with Sunderland producing millions of vehicles that supported thousands of skilled jobs and helped establish the North East as a global automotive powerhouse.”

This is encouraging for the UK economy given that according to the Society of Motor Manufacturers and Traders (SMMT) vehicle manufacturing volume in the UK was down 11.6 per cent in July this year compared to 2025. In response to the news Mike Hawes, SMMT Chief Executive, commented: “Today’s announcement is a major boost for Nissan Sunderland, the thousands of highly skilled jobs it supports and the wider local supply chain. It is also another vote of confidence in UK automotive manufacturing with its world-class workforce, innovation and engineering excellence.”

McLaren to invest £500m in the UK and to launch its first SUV

Nissan is not the only brand committing to UK, though. McLaren has also shared it will be expanding its manufacturing, engineering and operations here. As part of a wider strategy backed by shareholder L’IMAD – an investment fund owned by the Abu Dhabi government – McLaren will be investing £500m to build its next-generation cars here.

With this cash injection McLaren intends to widen the appeal of its brand by expand its model offering – by which we mean it will launch its first ever performance SUV. Along with the launch of an Aston Martin DBX rival, the investment will also allow McLaren to design and build powertrains in-house for the first time and to develop its hybrid technology.

The move will create 1,000 new jobs by 2032 including a new apprenticeship scheme. McLaren says it will double its UK workforce with up to 3,000 jobs created across the wider supply chain. In response to the announcement Andy Burnham, UK Prime Minister said: “McLaren Automotive is doubling down on Britain, keeping the design, the engineering and the building of every future car here, and taking on a thousand more people to do it. Their investment will create high-quality apprenticeships, jobs and drive growth far beyond their factory gates.”

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