The Government has revealed plans to expand the low-carbon and electric vehicles industry in a bid to boost the country's ability to manufacture eco-friendly vehicles.
Announcing the plans, transport minister Philip Hammond said the Government intends to offer £24 million funding for subsidies to buyers and grants to manufacturers.
The £24 million package will provide assistance to six projects. These include the creation of new engines for plug-in hybrid versions of Nissan, Lotus and Jaguar Land Rover cars as well as the development of a lightweight, hybrid diesel van.
The plug-in car grant is expected to kick-off in the beginning of next year, offering people financial assistance of up to £5,000 to buy electric, plug-in hybrid or hydrogen-fuelled cars.
The announcement was made before the autumn spending review, which is likely to include public spending cuts of nearly 25%.
Copyright © Press Association 2010