BMW will invest £250 million in its three Mini factories in the UK.
The Hams Hall site near Birmingham will benefit from the boost.
Today's news follows a investment of £500 million, and means additional job security for the 5,500 UK Mini workers, said BMW.
Business Secretary Vince Cable said: "BMW's ambitious plans for Mini will ensure its UK sites at Oxford, Swindon and Hams Hall remain at the centre of Mini production worldwide.
The investment of £250 million in addition to the £500 million last year demonstrates BMW's commitment to the UK and safeguards jobs for the future."