Volklec Links £600m Aerospace Fund to Domestic Battery Cell Production

Johan Andersson, chief commercial officer at Volklec, has stated that the UK government’s £600 million investment in green aerospace is insufficient without a parallel build-out of domestic battery cell manufacturing. The funding package, announced by the Department for Business, Innovation, Science and Trade, allocates over £500 million to research and technology for electric and hydrogen-powered flight. Volklec contends that while the grant supports development, the commercial viability of these aircraft depends on securing a stable, local supply of critical components rather than relying on fragile overseas networks.

The company highlights that current UK battery packs, even when designed and assembled domestically, typically rely on imported cells. This dependency exposes aerospace manufacturers to volatile pricing, long lead times, and geopolitical supply chain risks. For Volklec, the transition to domestic cell production is not merely a cost issue but a strategic necessity to ensure the consistency, traceability, and long-term reliability required for aerospace-grade power systems.

Domestic supply chains reduce aerospace risk

Andersson notes that the current industrial landscape is dominated by concerns over defence capability and supply chain resilience. The new funding signals that greener aviation is now a priority commercial opportunity. However, the company argues that the UK’s existing strength in research and engineering is not enough to guarantee market position. The critical gap lies in converting innovative technologies into repeatable, commercially viable production, a step that requires robust industrial capability rather than just academic output.

By localizing the supply of battery cells, UK manufacturers can mitigate the risks associated with concentrated global supply chains. This is particularly relevant for long-cycle aerospace programs, where supplier decisions made today will shape aircraft capabilities for the next decade. A domestic source ensures that critical components are available when needed, reducing the exposure to export controls and logistical disruptions that currently plague imported cell dependencies.

Market demand for aviation-grade cells grows

Industry data cited by Volklec projects significant growth in battery-powered aviation by 2035. Estimates suggest approximately 50,000 electric vertical take-off and landing (eVTOL) aircraft and 15,000 battery-powered fixed-wing aircraft will operate globally. This fleet size translates to an estimated 6 to 10 gigawatt-hours (GWh) of battery capacity, excluding replacement and aftermarket demand. This volume creates a substantial market for manufacturers capable of delivering high-performance cells at scale.

The technology behind these aircraft varies, ranging from 100% electric propulsion to hybrid systems using hydrogen or fossil fuel range extenders. Regardless of the powertrain configuration, battery cell performance remains a critical factor. Cell characteristics directly influence power output, energy density, weight, and thermal behavior, all of which are non-negotiable for aerospace safety and efficiency. Volklec positions itself to meet this demand by providing cells that meet the strict consistency and reliability standards of the aviation sector.

Volklec positions for next-gen aviation

As a UK-based battery cell manufacturer, Volklec is aligned with the government's goal to convert research strengths into deployed technologies. The company’s stance is that the £600 million fund should be viewed as the foundation for a broader industrial strategy that includes domestic production capabilities. By supporting UK-first battery supply chains, the industry can secure a valuable position in sustainable aerospace programs, ensuring that British expertise translates into commercial dominance in the next generation of green flight.