Japan-owned car battery maker secures £1bn to build second Sunderland gigafactory

Site likely to create 1,000-plus jobs as AESC wins 680m from UK government plus 320m in private finance and equity

Japan's AESC has announced it will build a second gigafactory in Sunderland to produce electric vehicle batteries, after it secured a 1bn debt funding deal backed by a 680m guarantee from the UK government.

The National Wealth Fund and UK Export Finance, both state bodies, will provide financial guarantees that unlock the 680m in financing for the battery maker. A further 320m in debt funding will come from private financing as well as new equity from the business.