BMW Walks Away From $76M Grant For MINI EV’s UK Production

While EV sales continue to grow around the world and are expected to reach record heights this year, demand has not matched the expectations of many automakers. This has forced a number of brands to make production changes and delay investments. The latest to follow suit is BMW, which announced it will delay its plans to start producing the all-electric Mini in the UK.

While Mini is already building an EV, it was scheduled to also be manufactured at the firm’s historical Oxford plant from 2026. In 2023, BMW announced a £600 million ($758 million) investment into the site to allow it to begin building the three-door Mini Cooper EV and the Mini Aceman. By 2030, the factory was scheduled to shift entirely to EV production.

Read: Future Mini EVs Could Go RWD Thanks To BMW

However, BMW says it’s delaying the introduction of these new models to the Oxford plant, and has also decided not to accept a £60 million ($76 million) grant from the British government to aid in its production plans.

“Plant Oxford is at the heart of Mini production, manufacturing and exporting a range of models, which are sought after in the UK and around the world,” BMW said in a statement. “However, given the multiple uncertainties facing the automotive industry, the BMW Group is currently reviewing the timing for reintroducing battery-electric Mini production in Oxford.

“We have informed the UK government of our decision to review the timeline for reintroducing battery-electric production in Oxford. As part of this discussion, we agreed not to take the previously announced grant, but we remain in close dialogue about our future plans.”

BMW did not provide an indication as to when production of the electric models in Oxford could start. However, it did say that it continues to use the previously-announced investments to “make the plant future-ready” and is committed to establishing a new “state-of-the-art logistics facility,” BBC reports.