Battery recharger Britishvolt has cut staff’s pay as it continues to struggle.
However, it has confirmed that it has the short-term funding necessary to make it through the upcoming “weeks.”
The business, which hopes to establish a 3,000-employee gigfactory in Cambois, stated that in an effort to cut costs about 300 employees voluntarily accepted a wage reduction in November.
Britishvolt said in a statement it was still looking into short-and-long-term funding sources to help it carry out the ambitious $3.8 billion plans for Northumberland.
It said: “While the weakening economic situation is negatively impacting much business investment at present, at Britishvolt we are continuing to pursue positive ongoing discussions with potential investors.
“In addition, we have also received promising approaches from several more international investors in the past few days.
“The result is we have now secured the necessary near-term investment that we believe enables us to bridge over the coming weeks to a more secure funding position for the future. To further reduce our near-term costs, our dedicated employee team has also voluntarily agreed to a temporary salary reduction for the month of November.
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“We want to thank our employees, suppliers and investors, for their continuing belief in Britishvolt. It is important that Britishvolt is a success not only for the close to 300 employees currently working for the company but also for the many thousands of jobs we intend to create in the UK as we progress our plans. The “Britishvolt effect” is also of huge strategic importance to UK plc and the country’s standing on the global battery stage.”
Britishvolt, which was only established at the end of 2019, aims to build over 300,000 lithium-ion batteries a year on the site of the old Blyth Power Station’s coal yards.
The company has several memorandums of understanding with auto manufacturers to supply its batteries, but it has not yet closed any formal agreements.
Source: Business Live