The British supercar manufacturer McLaren is to create 1,000 jobs in a welcome boost to the UK’s struggling automotive industry.

The carmaker is creating the jobs as part of a £450m investment in its technology centre in Woking, near to the plant where it manufactures all of its vehicles.

McLaren, which merged with the premium UK electric vehicle startup Forseven Holdings, currently employs 2,500 staff. The new jobs will include indirect and agency workers, according to the Financial Times, which first reported the investment.

The news comes days after Jaguar Land Rover confirmed plans to cut 4,000 jobs over the next two years. JLR, which is restructuring to address falling sales and financial challenges including Donald Trump’s tariff wars and the fallout from a cyber-attack last year, employs 44,000 people globally and 34,000 in the UK.

The cuts will mainly affect the 26,000 UK employees who are salaried and management workers.

Last year, CYVN Holdings, an Abu Dhabi government-owned investment company, acquired McLaren’s automotive business from Bahraini sovereign wealth fund Mumtalakat.

CYVN has said that it plans to invest $2bn (£1.4bn) over the next five years to drive the lossmaking group.

European carmakers have faced tough trading conditions as Chinese rivals, such as BYD and Chery, have enjoyed soaring sales across the UK and mainland Europe.

Last week Volkswagen announced that it was to cut 100,000 of its more than 650,000 global workforce by 2030 and cut the number of models the group produces by half.

VW group also includes the Bentley, Audi, Skoda, Seat, Porsche, Cupra and Lamborghini brands.

From early next year UK carmakers face a 10% tariff for electric vehicles shipped to the EU, and UK-made vehicles do not qualify for “made in Europe” subsidies under current proposals.