The money will be used to “transform” BMW’s plant in Oxford, southern England, “securing 4,000 high-quality jobs and strengthening the electric vehicle supply chain”, the government said in a press release.

“BMW’s investment is another shining example of how the UK is the best place to build cars of the future,” said Prime Minister Rishi Sunak.

“By backing our car manufacturing industry, we are securing thousands of jobs and growing our economy right across the country,” he added, with his government having offered tens-of-millions of pounds in support for BMW.

The first generation of the iconic British vehicle’s electric model was launched at the Oxford plant in 2019, but last year BMW announced most of its electric cars would be made in China.

The investment is expected to be used to make the plant fit for making electric vehicles, with all Minis set to be electric by 2030.

“Today’s announcement by BMW, coming a week after electric vehicle production started at Stellantis’s site at Ellesmere Port, clearly shows that the government’s plan for the automotive sector is working,” said business and trade secretary Kemi Badenoch.