BMW has decided to delay electric vehicle production at its Oxford Mini plant due to multiple uncertainties in the automotive sector. The manufacturer announced it would pause a £600 million upgrade at its Cowley site, which would impact plans to reintroduce battery-electric Mini production.
Despite this setback, BMW confirmed it would not accept a previously announced £60 million government grant but remains discussing future investments. A spokesperson explained that Plant Oxford remains central to Mini manufacturing, producing sought-after models for the UK and global markets. However, the company is reassessing its battery-electric production relaunch timeline, prioritizing industry stability.
The UK government has pushed for increased electric vehicle sales, but carmakers argue the targets remain too ambitious. Officials had a consultation to review the zero-emission vehicle (ZEV) mandate and address industry concerns. Last November, Stellantis blamed the policy for closing its Luton van factory, highlighting manufacturers’ struggles with regulatory pressures.
BMW clarified that investment at the Oxford facility is progressing, with significant construction projects advancing. The company continues developing a state-of-the-art logistics facility, ensuring the plant remains future-ready despite the production delay.
The Department for Transport acknowledged these industry challenges, stating it actively listens to manufacturers and considers reinstating the 2030 EV deadline. Officials emphasized their commitment to supporting automakers and consumers, allocating over £2.3 billion to accelerate the transition to electric vehicles.
BMW previously committed to investing hundreds of millions of pounds to prepare the Oxford Mini plant for a new generation of electric cars. Production of two electric Mini models was initially scheduled to start in 2026, but as BMW delays production it has now cast uncertainty over that timeline.
As BMW delays production of the Oxford Mini plant EV, industry experts anticipate further negotiations between automakers and policymakers. While BMW remains committed to electrification, shifting market dynamics could reshape the company’s plans.
