Honda has confirmed it is to close its Swindon car plant in 2021, with the loss of around 3,500 jobs, citing the "unprecedented changes" facing the global auto industry as a result of the emergence of electric vehicles (EVs).

The Japanese auto giant is one of a host of leading car manufacturers to adopt an ambitious electrification strategy, announcing in 2016 that it envisages two thirds of its sales coming from EVs and plug-in hybrids by 2030.

Announcing the decision to close the Swindon plant, Katsushi Inoue, Chief Officer for European Regional Operations at Honda Motor Co and President of Honda Motor Europe, said the move was part of a global restructuring programme designed to step up EV production.

"In light of the unprecedented changes that are affecting our industry, it is vital that we accelerate our electrification strategy and restructure our global operations accordingly," he said. "As a result, we have had to take this difficult decision to consult our workforce on how we might prepare our manufacturing network for the future. This has not been taken lightly and we deeply regret how unsettling today's announcement will be for our people."

The Swindon plant currently produces around 150,000 Honda Civics a year, but is said to be operating well below full capacity.

Some commentators had noted that the move was also likely to have been informed by Brexit-related concerns, with the entire auto industry warning a no-deal Brexit will lead to huge tariffs on both imported parts and exported cars sold into the European market.

The EU recently struck a trade deal with Japan that will lead to lower tariffs between the two markets and has prompted speculation that some Japanese manufacturers could switch production back to their domestic market.

But Ian Howells, senior vice-president for Honda in Europe, told the BBC the need to shift towards EV production across the company was the primary driver behind the decision.

"We're seeing unprecedented change in the industry on a global scale," he said. "We have to move very swiftly to electrification of our vehicles because of demand of our customers and legislation. This is not a Brexit-related issue for us, it's being made on the global-related changes I've spoken about.

"We've always seen Brexit as something we'll get through, but these changes globally are something we will have to respond to. We deeply regret the impact it will have on the Swindon community."

Business Secretary Greg Clark said the move was "a devastating decision for Swindon and the UK" and argued it was "deeply disappointing" given the UK's commitment to supporting the EV sector.

"This news is a particularly bitter blow to the thousands of skilled and dedicated staff who work at the factory, their families and all of those employed in the supply chain," he said. "The automotive industry is undergoing a rapid transition to new technology. The UK is one of the leaders in the development of these technologies and so it is deeply disappointing that this decision has been taken now."

The government is set to invest up to £1.5bn in supporting the roll out of zero emission vehicles as part of its Road to Zero strategy, which aims to end the sale of petrol and diesel cars and vans in the UK by 2040. As such, grants are available for EVs, alongside multi-million pound investments that are being made in charging infrastructure and R&D.

However, following the launch of the strategy last year environmental campaigners and some auto industry insiders warned the plans were not ambitious enough and the UK risked seeing its competitive position eroded as other countries pursued faster petrol and diesel phase out dates.

Writing on Twitter this morning Dustin Benton of think tank Green Alliance voiced fears the UK's failure to adopt a more ambitious target and "guarantee a large, early EV market" could undermine the country's appeal to global auto manufacturers.

This thread worth reading, especially 'British policy coming back to bite us'. I wonder whether the decision to delay the UK's petrol/diesel phase out (and thereby guarantee a large, early EV market, increasing the incentive to put a plant here) will cause similar regret. https://t.co/2gJLohlIgJ

— Dustin Benton (@dustin_benton) February 19, 2019

Honda's rationale for its decision is also likely to fuel calls for the UK government to emulate Scotland and develop a Just Transition strategy to help workers in carbon intensive sectors retrain and adapt to an economy that is being disrupted by the rapid emergence of clean technologies.

Clark said he would now convene a taskforce in Swindon with local MPs, civic and business leaders, and trade union representatives to "ensure that the skills and expertise of the workforce is retained, and these highly valued employees move into new skilled employment".