UK Export Finance (UKEF) has approved a £1 billion export development guarantee to Ford UK, aimed at accelerating the manufacturer’s electric vehicle transition, expanding its export capacity, and safeguarding thousands of jobs.
The financing facility will support operations at Ford’s research and development centre in Essex and its Halewood manufacturing plant. The Halewood site has undergone a £380 million upgrade to produce electric drive units for models including the Ford Transit Custom/E-Tourneo Custom and Ford Puma, which are assembled in Romania. In Essex, the company has invested £70 million in advanced testing and development capabilities, reinforcing the UK’s role in its European EV supply chain.
Backed by Citibank and a syndicate of lenders, with UKEF guaranteeing 80% of the loan (£800 million), the arrangement marks the third such guarantee Ford has received since 2020, bringing total UKEF-backed support for the automaker to nearly £2.4 billion.
“Recent investments in the UK have proved crucial to our European operations and have expanded our UK export capability, on top of supporting Ford’s investment in an all-electric product line for Europe,” said Lisa Brankin, Chair of Ford Britain. “This new UKEF facility will play an important role in supporting our UK exporting footprint, especially amid the continued uncertainty in the trade landscape and the disconnect between electric vehicle targets and customer demand.”
Tim Reid, Chief Executive of UKEF, said: “This is a great example of UKEF’s collaboration with the automotive industry, which is a key sector of the government’s Industrial Strategy. Boosting growth, securing key jobs, growing the UK’s export potential and doing so sustainably – that’s what UKEF does best.”
Business and Trade Secretary Jonathan Reynolds added: “We’re proud of our historic auto sector, and the commitment that global companies like Ford have made to make cars and create jobs in the UK. I’m delighted that UKEF is backing Ford in supporting the company’s ambitions for growth, helping to cement our position as a global leader for manufacturing.”