McLaren Automotive is set to invest £500 million in its UK operations as the British performance carmaker accelerates development of its next generation of vehicles, including a newly confirmed performance SUV.

The investment, backed by shareholder L’IMAD, a sovereign investor of the Government of Abu Dhabi, will expand McLaren’s manufacturing, engineering and operational capabilities across Britain. A new vehicle assembly facility is planned in the UK, increasing production capacity and enabling future McLaren models to continue being built domestically.

The company will also bring powertrain development and manufacturing in-house for the first time. The programme will initially cover two new engines and transmissions, supporting McLaren’s strategy of developing hybrid powertrains and building on technology introduced with the McLaren P1.

Investment will extend across McLaren’s existing UK footprint, including its production centre in Woking and carbon-fibre manufacturing and research facility in South Yorkshire. The company has also recently expanded with new design and innovation operations in Bicester and a testing and vehicle development facility in the Midlands.

The programme is expected to create at least 1,000 direct and indirect jobs across McLaren’s UK operations by 2032, while doubling its manufacturing workforce and supporting new apprenticeship opportunities. A further 3,000 jobs could be generated across the wider supply chain.

McLaren said the investment will strengthen Britain’s position in advanced automotive manufacturing, while securing expertise and intellectual property in areas including lightweight materials, carbon fibre and hybrid technology.

The expansion marks a significant shift in scale for McLaren as it broadens its portfolio beyond traditional supercars.