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McLaren Automotive is set to invest around £500 million in its UK operations, creating 1,000 new jobs by 2032, the government announced on 16 September 2026. The high performance carmaker will expand its research and manufacturing site in South Yorkshire and open a new vehicle production facility in the UK, on top of its existing Woking headquarters.
Business Secretary Jonathan Reynolds and First Secretary of State Louise Haigh visited McLaren's Technology Centre in Woking on the day of the announcement, where they met apprentices and senior staff before touring the site's production lines. Ministers described the investment as a significant vote of confidence in Britain's automotive sector and in the government's Modern Industrial Strategy.
At a glance
- McLaren Automotive will invest around £500 million to expand its UK manufacturing and research operations.
- The investment is expected to create 1,000 new jobs directly at McLaren by 2032, including new apprenticeships.
- Up to 3,000 additional jobs could be created across McLaren's wider UK supply chain.
- The expansion builds on £4 billion of government investment planned across the automotive sector by 2035.
- McLaren will manufacture future engines in house for the first time and add a new performance SUV to its range.
What McLaren's £500 Million Investment Actually Covers
The money will expand McLaren's existing research and development, and production site in South Yorkshire, while also funding a new vehicle production facility elsewhere in the UK. According to the Department for Business and Trade, the investment guarantees that McLaren will continue to design, engineer and manufacture in Britain, keeping every current and future model built domestically rather than shifting production abroad.
Alongside the expanded UK footprint, McLaren plans to manufacture future engines in house for the first time and to broaden its model range with a new performance SUV. The government says this combination of home grown engineering and a wider product line up should open up new export markets as McLaren's range grows.
The announcement builds on other recent additions to McLaren's UK operations, including a new design and innovation centre in Bicester and a separate engineering, testing and vehicle development site at MIRA in the Midlands.
Why South Yorkshire and Woking Are Getting McLaren's Money
Woking remains McLaren's home and the base for its Technology Centre, where ministers held Tuesday's visit. South Yorkshire, meanwhile, hosts McLaren's existing research and production site, which the new funding will expand alongside the government's wider push to grow advanced manufacturing outside London and the South East.
The government expects the 1,000 direct McLaren jobs created through the investment, including new apprenticeships, to materialise by 2032, with a further 3,000 jobs potentially supported across the company's supply chain. Prime Minister Andy Burnham said the deal would help bring "skilled work, decent wages and pride" back into places that host manufacturing jobs, adding that he wanted young people to see a future in "making things, wherever they grew up."
Burnham, Reynolds and McLaren's Chief on Why This Deal Matters
Louise Haigh called McLaren's decision to expand "a vote of confidence in our advanced manufacturing sector," pointing to what she described as world leading skills in the UK workforce. Jonathan Reynolds said the investment fitted into the government's Modern Industrial Strategy, which he said was "backing the car industry with billions of pounds in investment to help reindustrialise Britain."
Nick Collins, chief executive of McLaren Group Holdings and McLaren Automotive, said the company was "investing in the future of McLaren and in advanced manufacturing in the UK," framing the expansion as a platform to develop the next generation of McLaren cars while strengthening skills and jobs.
What the investment could deliver
- 1,000 new jobs directly at McLaren by 2032, including new apprenticeships.
- Up to 3,000 further jobs supported across McLaren's UK supply chain.
- Continued design, engineering and manufacturing of every future McLaren model in Britain.
- New export opportunities as McLaren expands its global model range.
What it doesn't guarantee
- The 1,000 jobs are phased through to 2032, not created immediately.
- The 3,000 supply chain jobs figure is a government estimate, not a fixed commitment from McLaren.
- The announcement is specific to McLaren and does not represent a guarantee for the wider automotive sector.
- Delivery depends on McLaren completing its planned South Yorkshire expansion and new production facility.
How the McLaren Deal Fits Into the Government's Reindustrialisation Push
The Department for Business and Trade says the McLaren investment builds on £4 billion of government investment already committed to the wider automotive sector by 2035. Officials describe the deal as part of a broader Modern Industrial Strategy aimed at giving manufacturers the confidence to invest in Britain over the long term.
The timing follows a Downing Street roundtable and reception held days earlier, where business leaders discussed how government and industry could work together to unlock investment, create jobs and spread growth across the country. The government has framed McLaren's decision as evidence that its approach, offering businesses greater policy certainty, is encouraging firms to commit to UK sites rather than relocate production elsewhere.
When McLaren's 1,000 New Jobs Will Actually Arrive
McLaren's jobs and investment are expected to be delivered in phases running up to 2032, alongside the company's plans to bring engine manufacturing in house and launch its first performance SUV. The government has not set out further milestones for tracking progress on the expansion beyond the figures announced this week.
For now, the announcement gives ministers a concrete example to point to as they continue promoting the Modern Industrial Strategy to other manufacturers weighing up where to base future investment.
Key Takeaways
- McLaren Automotive will invest around £500 million to expand its UK manufacturing and research operations.
- The investment is expected to create 1,000 new jobs directly at McLaren by 2032, including new apprenticeships, plus up to 3,000 further jobs across its supply chain.
- The expansion covers McLaren's existing Woking headquarters, an enlarged South Yorkshire site, and a new UK vehicle production facility.
- McLaren will manufacture future engines in house for the first time and add a new performance SUV to its range.
- The deal builds on £4 billion of planned government investment in the automotive sector by 2035, part of the Modern Industrial Strategy.