Tata’s $5.2 bn EV battery project in Britain shouldn’t be underestimated

British government officials describe Tata Group’s decision to build an electric-car battery factory in the UK as a “major vote of confidence” and a huge boost for the country’s auto industry, saying it will create thousands of jobs and help drive economic growth. For once, the hype may be partly justified.

The significance of the £4 billion ($5.2 billion) project shouldn’t be underestimated, though it is more of a lifeline for domestic carmakers rather than their crowning glory. This was the deal the UK couldn’t afford to lose. Much local media coverage focused on the financial incentives that the government must have offered to win the Indian conglomerate’s favor,