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Somerset Council’s £150m Investment in Gravity Site for Gigafactory

Somerset Council has committed to investing £150m in the Gravity site near Bridgwater, following the announcement of a £4bn investment in a new electric vehicle battery factory. Agratas revealed plans for the gigafactory on February 28, with expectations to create 4,000 jobs and start operations by late-2026. The council plans to borrow the funds and invest in infrastructure for the site, with the repayment to be generated through government grants and business rates until at least 2042.

The investment strategy, known as the Gravity locality investment plan (GLIP), aims to share the risk between the public and private sectors similar to the Hinkley Point C nuclear power station project. The majority of the funding for the gigafactory will be contributed by Agratas and Tata, while the council’s role will be to provide targeted investment for infrastructure and address any viability issues related to the site.

To alleviate financial pressures, the Department for Business and Trade (DBT) will provide up to £55m in grant funding over the initial years. Repayment of the borrowed amount will be facilitated through the retention of business rates collected from the Gravity site until 2042, potentially extended to 2052 by the Department for Levelling Up, Housing, and Communities (DLUHC).

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Concerns were raised about the emphasis on public transport and cycling, with opposition leader Councillor Dave Mansell highlighting the need for a well-planned transport infrastructure, including a railway link and facilities for active travel. The proposal includes the development of a new active travel route from Bridgwater town center to the Gravity site, supported by various funding sources.

Given the environmental impact, discussions revolved around locally sourcing materials and minimizing environmental harm. A focus on engaging local talent to address employment concerns and avoid pricing existing residents out of the housing market was also emphasized as crucial.

Council members expressed optimism for the project’s success, acknowledging the efforts of past administrations and the Local Enterprise Partnership (LEP) in realizing the gigafactory plans.

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