Dr Ralf Speth, JLR CEO, said: “The Engine Manufacturing Centre is a strategically significant facility for Jaguar Land Rover.
“The decision to expand our operations at the site provides a clear signal of our commitment to meeting customer demand for cleaner and more efficient engines, whilst developing the skills and capability that Britain needs if it is to remain globally competitive.”
The plant, manufactures Ingenium engines for its Jaguar XE and Discovery Sport models.
JLR said the investment would lead to the creation of several hundred new jobs at the EMC to ensure its global workforce reached 40,000 by 2016.
The firm currently makes about 400,000 engines every year.
Rachel Eade, automotive lead for the Business Growth Service, said: “There has been a lot of talk about Jaguar Land Rover’s global expansion plans and the possibility of creating new plants overseas.
“This £450m investment reinforces the car maker’s commitment to the UK and underlines how the i54 engine plant is already playing a crucial role in the company’s ambitious plans to double its production output and achieve lower emission engines.”
She added: “As well as the hundreds of jobs set to be created at the plant, there will no doubt be additional spin-offs in the supply chain and we expect our SMEs to be in an ideal position to take advantage of increased volumes and new opportunities.
“Our role is to make sure we work with the component manufacturers to ensure they have the capacity and the skills required to meet the demands of JLR, other car makers and tier 1s. According to industry sources we could well be on course to match the 1970s peak of two million cars by the end of the decade.”
