Troubled electric car battery maker Britishvolt - which promised thousands of jobs and attracted high-profile Government support - has appointed administrators from EY after failing to secure the vital funding it needed.

It is understood around 300 staff already at the site have been made redundant.

Dan Hurd, Jo Robinson and Alan Hudson of EY Parthenon’s turnaround and restructuring strategy team were appointed today and said: “As a result, regrettably, the majority of Power By Britishvolt Limited employees have been made redundant with immediate effect. All those impacted are being offered appropriate support and advice.”

Read more: Britishvolt at Blyth expected to fall into administration

Ian Hurd, joint administrator and partner at EY Parthenon, said: “Britishvolt provided a significant opportunity to create jobs and employment, as well as support the development of technology and infrastructure needed to help with the UK’s energy transition.“It is disappointing that the company has been unable to fulfil its ambitions and secure the equity funding needed to continue.

“Our priorities as joint administrators are now to protect the interests of the company’s creditors, explore options for a sale of the business and assets, and to support the impacted employees.”

John McCabe, Chief Executive, North East England Chamber of Commerce, said: "The collapse of Britishvolt and this missed opportunity is extremely disappointing news for the region. My thoughts are with all of the employees who have lost their jobs and I hope they will all find good employment in the region very soon. 

"The Cambois site has great potential thanks to the exceptional local workforce, its scale and the surrounding electrical and logistical connectivity.

"The North East remains a fantastic place to invest in the creation and growth of businesses. We must learn the lessons of the Britishvolt experience and work together as a region to welcome future investment opportunities and ensure they are brought to fruition."

 Labour MP for Wansbeck, Ian Lavery had said earlier: "Back in July Boris Johnson when he was the Prime Minister told me that the cheque was in the post to Britishvolt, but the reality is they have never received a penny from the government. If they are serious about levelling up the North East the government needs to put their money where its mouth is and get behind a gigafactory being built on this site in Cambois."

Read more: Britishvolt collapse 'long-term strategy failure' says Labour

The dream of a vast gigafactory to make the batteries to power thousands of electric cars needed to get the UK towards Net Zero now has nothing to show after promises of thousands of jobs, billions in investment and the backing of the Government.

Questions will be asked about scrutiny and funding promises and whether there is still an investment opportunity at some scale.