The ambitious plans for a battery cell factory in Blyth, Northumberland, are on the verge of being abandoned, with reports indicating that the site intended for the factory will be sold to a company planning to construct a large data center instead.
The future of the Blyth site has been uncertain for several months, following the insolvency filing of battery startup Britishvolt in early 2023 and subsequent concerns regarding the new owner, Recharge Industries. According to reports from major British media outlets, Northumberland County Council is now considering selling the site to Blackstone, a company looking to develop a sizable data center on the premises. If this sale proceeds, the vision of a battery cell factory near the harbor city would effectively come to an end after more than three years.
Britishvolt’s initial plans for the factory in Blyth aimed to create up to 3,000 jobs, but financial challenges plagued the project from early on. Reports of financial difficulties at Britishvolt surfaced in 2022, before the company ultimately filed for insolvency in 2023. Despite the acquisition of Britishvolt by US-Australian company Recharge Industries, issues with securing the future of the battery plant persisted, with reports indicating that Recharge Industries had not fulfilled its financial commitments.
The potential collapse of the Blyth project represents a significant setback for the UK government’s eMobility plans. With the fate of the Blyth factory uncertain, the focus now shifts to alternative options, such as the plans of Chinese company Envision AESC to establish a large battery factory adjacent to the Nissan plant in Sunderland.
The development underscores the challenges faced by the UK in establishing a robust domestic battery manufacturing industry, crucial for the country’s ambitions to transition to electric vehicles and reduce reliance on imported batteries.
