Switch Mobility Plans to Shut Down its UK Plant Amid Economic Challenges
Switch Mobility plans to shut down its UK plant as part of a strategic shift. The decision comes amid economic uncertainty and slower EV adoption in the UK market.
Switch Mobility Limited, a subsidiary of Ashok Leyland, has announced plans to cease manufacturing and assembly operations at its Sherburn facility in the UK. The decision comes as part of a broader reassessment of the company’s operations in the face of ongoing economic challenges and slower-than-expected adoption of electric vehicles (EVs) in the UK.
The company has initiated a consultation process with its employees, which may ultimately lead to the closure of the Sherburn facility. This marks a significant change for Switch Mobility after over 15 years of commitment to the UK market.
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Economic Uncertainty and Slower EV Transition
The decision to shut down the UK plant stems from ongoing economic uncertainty across both the UK and Europe, combined with a slower transition to zero-emission vehicles in the public transport sector.
According to Ashok Leyland, the adoption of electric buses and passenger vehicles in the UK has been “tepid,” leading the company to reconsider its operations in the region.
While Ashok Leyland remained committed to the UK market over the last 15 years, adoption of zero-emission passenger vehicles has been tepid. This seems to be the right time to cut down losses in the UK market.
Shenu Agarwal, Managing Director & CEO of Ashok Leyland.
Ongoing Support for UK and European Customers
Although Switch Mobility plans to shut down its UK plant, the company has reassured its customers that all existing orders will be completed and aftermarket support will continue for vehicles already on the road.
In addition, the company intends to serve the UK and European markets through Ashok Leyland’s manufacturing sites in India and the UAE, depending on market conditions.
Switch Mobility’s UK plant closure is expected to reduce operational losses, and the company is confident that its future operations in other regions will be more sustainable.
In February 2025, Ashok Leyland’s board approved a GBP 45 million equity infusion to support Switch UK’s cash flow needs as the transition unfolds.
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Focus on the Growing Indian EV Market
With the closure of its UK facility, Switch Mobility is setting its sights on the rapidly growing Indian EV market.
Switch India, a subsidiary of Ashok Leyland, is set to intensify its efforts in India’s electric vehicle market, which has shown significant growth potential.
The Indian subsidiary aims to achieve EBITDA breakeven in FY25 and plans to triple its production volumes in FY26, largely driven by strong demand for electric buses, including orders for over 1,800 e-buses.
A Legacy of Electric Vehicles in the UK
Switch Mobility, originally founded as Optare in 1985, has played a key role in the UK’s transition to electric buses.
The company introduced the first domestically built pure electric bus, the Metrodecker EV, in London in 2014.
Over the years, Switch Mobility has deployed more than 1,000 electric vehicles globally and has helped transport over 150 million green kilometers as part of its commitment to carbon-neutral transport.
While Switch Mobility plans to shut down its UK plant, the company remains committed to its mission of leading the transition to cleaner, greener transportation and will continue to serve its customers around the world.
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