South Yorkshire mayor 'supportive' of airship firm that needs £300m to start production in Doncaster

South Yorkshire Mayoral Combined Authority has loaned Hybrid Air Vehicles £1m as part of a project to build a factory employing 1,200 in Doncaster.

A further £6m is available “subject to certain conditions.”

It comes as the boss of HAV told The Times the company has orders for 20 Airlanders. But it needs £300m on top of the £140m it has already had to develop it.

A spokesperson for South Yorkshire Mayoral Combined Authority said: “SYMCA agreed loan funding of £7m to Hybrid Air Vehicles in March 2023, to be drawn down subject to the project meeting certain conditions.

“To date, £1m of this loan has been made available to support the land assembly at Carcroft Common; we can take comfort that this investment is likely to create equivalent value in the event that the project does not proceed.

“Release of the remaining loan funding is conditional upon HAV securing private finance which limits the MCA’s exposure. We remain supportive of the project and continue to work with HAV on its ambitions with regard to Airlander.”

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In its most recent accounts, the group’s auditors, RSM UK, warned that “material uncertainty exists that may cast significant doubt on the company’s ability to continue as a going concern,” The Times reported.

Bedford-based HAV says Airlanders are a new class of aircraft that can stay up for five days, put down on sand, ice or water and don’t need a runway. They also produce just 25 per cent of a plane’s carbon emissions, set to fall to zero when a fully electric version comes out.