An "essential" development part of a major plan aimed at bringing in billions of pounds of investment and create tens of thousands of jobs has been given the green light.

Members of the West Midlands Combined Authority (WMCA) Board approved the full business case for £23 million for the Coventry and Warwick Gigapark at a meeting on Friday (January 10).

The funding will pay for the installation of a dedicated energy supply capable of supporting large-scale battery production, further infrastructure works and the technical assessments required for a detailed planning application.

Board members said the project was vital for the future of car manufacturing in the West Midlands and enhancing it's profile on the global stage.

The 2.5 square metre gigapark is based at Coventry Airport and consists of four sites – Whitley East, Whitley South, Greenpower Park and SEGRO Park.

Anchored by a new battery gigafactory and associated businesses and technologies, the site will get tax incentives, business rates retention and £23m investment for land remediation, infrastructure and connection to power grids.

It is part of the 25-year Investment Zone which is focussed on driving growth in advanced manufacturing, green industries, health-tech and underlying digital technologies and aims to bring in £5.5 billion investment and create more than 30,000 new jobs.

It will benefit from tax incentives, direct funding and business rate retention within the zone, which could see up to £1.5bn reinvested into the West Midlands instead of going into government coffers.

Mayor Richard Parker said: "The gigapark is going to make the West Midlands a global hub for cutting- edge battery technology, paving the way for a new era of manufacturing in and around our region.

"This Investment Zone funding is an exciting first step in making that vision a reality. It will bring in private investment, create thousands of quality jobs, boost the local economy, and help build a greener, more sustainable future."

Coventry City Council leader George Duggins said: "Naturally I welcome this. This is important for the West Midlands but also really important for this country genuinely.

"We are falling behind internationally in respect of such facilities and we've got a lot of making up to do. I believe this begins the process.

"We're some years behind but we need to catch up and I do believe also this will be quite important our general growth agenda."

And Birmingham City Council cabinet member for housing Jayne Francis added: "This is very positive news, the commitment to investment into our region.

"A gigafactory will be essential to the future of our motor industry here in the West Midlands and the future to high end manufacturing more widely.

"This must be seen as part of a wider plan to strengthen the West Midlands economy and in particular to improve the skills offer so people in our region can take opportunities up in training and employment.

"In this post-Brexit economy, it is vital the West Midlands remains an attractive region for car manufacturing and a gigafactory is essential to that."

The Investment Zone will be powered by two other specific sites in the West Midlands.

Birmingham Knowledge Quarter – running northeast from the Birmingham City and Aston universities through Duddeston and Nechells to Aston.

The quarter will offer tax incentives, business rates retention and receive £9m investment for public realm works and active travel infrastructure to help attract investment.

And the Wolverhampton Green Innovation Corridor will create new green industries and skills through a partnership between the city council and university with £7 million investment for land remediation and key infrastructure.