The news comes just days after Vauxhall announced it will be halting production for a week from 24 September to ease the build up of stock left over from falling European sales.
Despite trouble in Europe, car sales in the UK are up 10%.
Honda’s upcoming investment will support the introduction of its newest Civic and CR-V models, as well as the new 1.6-litre diesel engine.
The Swindon plant produces cars and engines destined for export to over 60 countries across Europe, the Middle East, Africa and Australia.
Business Secretary Vince Cable said: “The investment supports the government’s ambition to encourage new investment and exports as a route to renewed growth and a more balanced economy.”
The last year has seen a boom in car production in the UK.
In April Nissan announced it would be investing £127 million into its Sunderland plant to build its new hatchback design, and in July BMW said £250 million was going into UK factories to increase production of the ever-popular Mini Cooper.
Honda UK’s managing director Dave Hodgetts believes the new Swindon investment is a testament to Honda’s 25-year commitment to and support of the UK workforce. He describes the Swindon factory as a ‘cornerstone’ of Honda’s European car operations.
View and comment on the original BBC News article.