Plans for the plant were approved last year and it will be the second in Sunderland for AESC UK, which is Nissan’s battery partner.

The money will go towards the remainder of its construction and subsequent operation.

The government said the gigafactory would power up 100,000 electric vehicles (EVs) each year and would see the UK become more globally competitive in that field and help it achieve its net zero target.

Because of its size and being partially located on green belt land, the building’s planning application was referred to the Secretary of State for a final decision before finally being green-lit in September 2024.