The UK government is allocating 390 million pounds ($484 million) worth of funding for the development of electric and autonomous vehicles.



The move was announced by the country’s finance minister Philip Hammond as part of the annual budget. According to Hammond, the funding will “build on our competitive advantage in low-emission vehicles and the development of connected autonomous vehicles.”

Automotive News reports that, alongside the funding, a 100 per cent first-year capital allowance will be provided to develop charging infrastructure for electric vehicles.

Among the beneficiaries of this funding could be Jaguar Land Rover. The British automaker is at the forefront of local autonomous technologies development and has tested autonomous and connected vehicle systems on UK roads. Additionally, the brand will start selling its first all-electric model, the I-Pace, in 2018 and while many of JLR’s are built in the UK, the I-Pace will be made in Austria by Magna Steyr.

The UK believes that by 2025, the self-driving car market could be worth $1.1 trillion worldwide.

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