RECAP: How the day unfolded as Prime Minister Boris Johnson visited Nissan's Sunderland plant after major £1bn investment

The site will build batteries for electric vehicles, in partnership with Envision AESC, which already runs an existing factory near the Sunderland plant makeing batteries for the Nissan Leaf.

Japan-based Envision AESC also has factories in the United States, China and Japan.

The Sunderland site is expected to open in the next few years, with contributions from the Government.

Jobs will be created at the factory as well as in the supply chain.

The study, commissioned by the Society of Motor Manufacturers and Traders (SMMT), said the Government should announce a “binding target” of 60 gigawatt hours of battery capacity to be in place by 2030.

It says the so-called gigafactories would allow UK manufacturers to build up to a million electric cars a year and ensure tariff-free access to “critical” markets in the European Union under the Government’s Brexit deal.

The study, written by policy and research company Public First, also called for the installation of at least 2.3 million charging points nationwide before the end of the decade to give drivers – particularly those with no off-road parking at home – the confidence to invest in zero-emission vehicles.

The report urges the Government to launch a Build Back Better Fund to support the transformation of the industry and says there is potential for 40,000 jobs, offering the North East, as well as West Midlands, a major boost.

And the document warns the industry “risks decline” if there are not “competitive conditions”, leading to the loss of around 90,000 jobs.

Information about the plans is now being released by the car giant, with the company’s Chief Operating Officer Ashwani Gupta making a speech at the Wearside site.

It has confirmed EV36Zero, a £1 billion flagship Electric Vehicle (EV) Hub creating a world-first EV manufacturing ecosystem will be built in the city.

In a statement, the company said: “Centred around the record-breaking plant in Sunderland, UK, Nissan EV36Zero will supercharge the company’s drive to carbon neutrality and establish a new 360-degree solution for zero-emission motoring.

“The transformational project has been launched with an initial £1bn investment by Nissan and its partners Envision AESC, a global player in world-leading battery technology, and Sunderland City Council.

“Comprised of three interconnected initiatives, Nissan EV36Zero brings together electric vehicles, renewable energy and battery production, setting a blueprint for the future of the automotive industry.”

In addition to the 1,600-plus jobs the production line will create in Sunderland, an estimated 4,500 roles will be generated in supply companies under the investment of £1 billion.

More than £420 million will be invested in building a new-generation all-electric vehicle.

The news was warmly welcomed by the Government and unions representing workers in Sunderland.

Prime Minister Boris Johnson said: “Nissan’s announcement to build its new-generation all-electric vehicle in Sunderland, alongside a new gigafactory from Envision AESC, is a major vote of confidence in the UK and our highly skilled workers in the North East.

“Building on over 30 years of history in the area, this is a pivotal moment in our electric vehicle revolution and securing its future for decades to come.

“Commitments like these exemplify our ability to create hundreds of green jobs and boost British industry, whilst also allowing people to travel in an affordable and sustainable way so we can eliminate our contributions to climate change.”

Unveiling Nissan EV36Zero at the Sunderland Plant today, Nissan’s Chief Operating Officer, Ashwani Gupta, said:

“This is a landmark day for Nissan, our partners, the UK and the automotive industry as a whole. Nissan EV36Zero will transform the idea of what is possible for our industry and set a roadmap for the future for all.

“We reached a new frontier with the Nissan LEAF, the world’s first mass-market all-electric vehicle. Now, with our partners, Nissan will pioneer the next phase of the automotive industry as we accelerate towards full electrification and carbon neutrality.”

Patrick Melia, commented: “Sunderland is an ambitious city and today’s announcement is game changing.

“A transformational project for a transforming city, we are enormously proud to be playing our part in a world leading project.”

His comments come as Nissan’s workforce listen in to today’s announcement on the factory floor.

UK Business Secretary Kwasi Kwarteng has been among those to welcome today’s announcement.

He said:

“This fantastic investment by Nissan and Envision-AESC represents a solemn commitment to the people of Sunderland, bringing further high-skilled jobs and turbocharging our plans to level up the North East.

“This is a huge step forward in our ambition to put the UK at the front of the global electric vehicle race, and further proof, if any was needed, that the UK remains one of the most competitive locations in the world for automotive manufacturing.

“I am extremely proud that Nissan has not only reaffirmed its belief in Britain, but is doubling down on its long-standing commitment to our country.

“The cars made in this plant, using batteries made just down the road at the UK’s first at scale gigafactory, will have a huge role to play as we transition away from petrol and diesel cars and kick-start a domestic electric vehicle manufacturing base.”

Sharon Hodgson, Labour MP for Washington and Sunderland West, said the project could “transform car-making in the UK”.

She added: “I have been working with Nissan to call on the Government to invest locally in the Nissan supply chain.

“The Sunderland plant is the jewel in the crown not only for Nissan but for our region’s economy – with local jobs and a local supply chain, we in the North East benefit most.

“This announcement is also testament to Sunderland City Council’s dedication to becoming a city of the future, providing green energy, green jobs and green investment.”

Leader of Sunderland City Council, Cllr Graeme Miller Nissan says he’s “delighted for the workforce, delighted for the city, delighted for the region and the UK”.