Announcing the grant funding award today, Minister for Business and Enterprise Mark Prisk said:

"This new government investment is part of our strategy to put the UK at the forefront of low carbon vehicle technology and is another step for the UK towards a low carbon economy. Developing such highly innovative strategic technologies is vital if we are to mass produce low carbon vehicles in the UK and make this country a more attractive location for sustained investment by global vehicle manufacturers and suppliers."

Iain Gray, Chief Executive of the Technology Strategy Board, added:

"Through our low carbon vehicle Integrated Delivery Programme we aim to integrate the low carbon vehicle innovation chain in the UK from the science base through collaborative R&D to fleet-level demonstration. By investing in such cutting-edge development, we are driving forward low carbon vehicle innovation in a range of strategically important areas for the UK.

The consortia developing the technologies will be lead by Advanced Composites Group Ltd, Amberjac Projects Ltd, Ashwoods Automotive Ltd, Axon Automotive, Bladon Jets, Cobham CTS Ltd, Drive System Design Ltd, Econolyst Ltd, Jaguar Cars Ltd, Leyland Trucks, Magnomatics Ltd, Morgan Motor Company, Prodrive, Sevcon Ltd, T&L Process Technology Ltd and The Manufacturing Technology Centre (MTC).

The Technology Strategy Board allocated £8 million from its budget to co-fund the R&D projects and, after receiving so many top-quality applications, BIS agreed to provide additional government support of £2 million, bringing total government investment to £10 million. Including contributions from the participating companies, the total value of the research and development projects is over £19 million.