Electrified Motors Secures Government Grant Funding for Project E-Axle
Electrified Motors is pleased to announce it has secured funding from the Department of Business and Trade, facilitated by the Advanced Propulsion Centre UK (APC) and Innovate UK, for ‘Project E-Axle’ – a programme to develop a highly integrated, scalable electric motor and axle system for off-highway and last-mile on-road electric vehicles.
Project E-Axle combines Electrified’s advanced electric motor technology with Schafer Industries next-generation e-axles. Schafer will develop an axle system to integrate directly with Electrified’s motor technology as part of the project.
“At Electrified, we see huge opportunity in rethinking how motors and axles are designed as a single system rather than separate components,” said Jim Winchester, Managing Director, Electrified Motors.
“With the support of the Advanced Propulsion Centre UK (APC) , Project E-Axle allows us to apply our motor IP in a way that delivers significant improvements in efficiency, size and cost for OEMs.”
At the core of the project are Electrified’s compact and efficient PMAC motors that operate up to 144V, making them ideally suited to off-highway and last-mile vehicle applications.
A key feature of Project E-Axle is the deep integration of the motor and axle assembly, which significantly reduces part count, cost and packaging volume.
Another important innovation of the project is the use of transmission oil within the axle to cool the electric motor directly, removing the need for external coolant loops – a requirement for many target vehicle platforms. This integrated oil-cooling approach also improves thermal performance, allowing the motor to be downsized while maintaining output and reducing reliance on rare earth materials.
Overall, the E-Axle system is expected to reduce motor footprint by up to 70% and deliver efficiency improvements of up to 15% compared with non-integrated solutions.
Ian Constance, CEO, Advanced Propulsion Centre UK (APC), said: “The projects announced today demonstrate the UK’s determination to lead the shift to zero-emission mobility. By facilitating the UK Government’s DRIVE35 grants, we are turning world-class innovation into industrial capability. With our partners in DBT and Innovate UK, we are backing manufacturers, empowering SMEs, and strengthening the UK’s sovereign supply chain.
“This multi-million pound support package is more than an investment in technology; it is an investment in the people, skills, and companies that will define the future of clean transport. Together, we are building the foundations of a competitive, resilient, and sustainable automotive industry.”
Electrified also plans to invest in expanding its UK production facility this year, while continuing to work with partners in Europe and the Americas to strengthen its global supply chain position.
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About The Advanced Propulsion Centre UK (APC)
The Advanced Propulsion Centre UK (APC) collaborates with the UK government, the automotive industry, and academia to facilitate driving research and investment in zero-emission vehicle manufacturing. Established in 2013 and jointly funded by the Department for Business and Trade (DBT) and the automotive industry, the APC accelerates the development and industrialisation of technologies that enable the transition to zero-emission vehicle manufacturing and a net-zero automotive supply chain in the UK.
Launched in July 2025 and delivered by DBT in partnership with the APC and Innovate UK, the DRIVE35 (Driving Research & Investment in Vehicle Electrification) programme forms a core part of the UK Government’s Advanced Manufacturing Sector Plan. It underpins the UK’s commitment to a zero-emission future, backed by £4 billion in grant funding to 2035 for automotive R&D, scale-up, and transformation.
Through DRIVE35, the APC has facilitated funding for 101 zero-emission projects involving 201 partners, strengthening the UK’s long-term automotive capability through collaboration, knowledge-sharing, and innovation. Focus across three funding pillars – Innovation, Scale-up, and Transformation – is helping to build a globally competitive zero-emission vehicle supply chain and deliver safer, smarter, more sustainable, and affordable mobility[LH1.1].
Innovation
Supporting product and process innovation in strategic and disruptive zero-emission vehicle technologies, including digital tools and AI-driven processes.
Scale-up
Accelerating manufacturing by catalysing investment in advanced technologies for zero-emission vehicles, scaling up sustainable production processes.
Transformation
Driving capital investment to strengthen an internationally competitive EV supply chain, including upgrading existing plants and establishing new facilities to secure future zero-emission vehicle assembly in the UK.
NOTES TO EDITORS
All figures are subject to monthly review and may change. Throughout the lifetime of funded projects, figures are regularly reassessed and adjusted in line with DBT guidelines.
During its first phase of operation (2013 – 2025), the APC facilitated UK Government grant funding for 354 low-carbon and zero-emission projects involving 614 partners. This awarded funding is estimated to have helped create or safeguard over 59,000 jobs in the UK, with supported technologies projected to save over 425 million tonnes of CO2.
‘Safeguarded jobs’ refers to existing roles retained that might otherwise have been lost. All job and CO2 metrics are cumulative APC outturns, covering up to 10 years from the start of each project. Risk adjustments are applied to account for unknown market forces and ensure figures are not overstated and are updated periodically as new insights become available.