Nissan will invest £170mn to build a new hybrid SUV, the Kicks, at its Sunderland plant, marking a fourth model for the UK’s largest car factory. The move aims to boost the plant’s utilisation rate, currently around 50 per cent, and follows a non‑binding memorandum of understanding with China’s Chery to share production of three models. UK Business Secretary Jonathan Reynolds called the decision a "huge vote of confidence" in British manufacturing, which faces pressure from US tariffs, high energy costs and Chinese competition.

Nissan employs about 6,000 workers in Sunderland, where it already produces the Qashqai, Juke and Leaf. The Kicks, powered by Nissan’s e‑Power hybrid system, is expected to add up to 50,000 vehicles annually. Meanwhile, McLaren plans a £450mn investment creating 1,000 jobs at its Woking technology centre.

Nissan’s European market share fell to 2.1 per cent in the first half, trailing BYD’s 2.4 per cent, and the company will unveil a small electric car, Pixo, next week to revive sales.