The electric vehicle and clean energy company previously discussed building a Tesla Gigafactory in the UK last year, but CEO Elon Musk passed it over because of the country's decision to leave the European Union.
At the time, Musk said uncertainty around the decision make it "too risky" and eventually settled on building the factory in Berlin, Germany, however a new report suggests a different factory could still be built on UK soil.
The Department for International Trade (DIT) has confirmed that it's scouting sites for EV research, development, and manufacturing in the UK, but hasn't divulged any industry names.
In a statement, they said: "The government is working with industry to help make the UK the location of choice to develop world-class electric vehicle technologies. DIT is working closely with partners to scope out sites for new investment into electric vehicle research, development, and manufacturing across the UK."
According to Property Week, Tesla are looking to find a four million-square-foot site for the factory, where they want to build an "electric vehicle (EV) research, development, and manufacturing plant".
The report suggests that Somerset's 650-acre Gravity industrial park is being considered as a possible location.
As of the time of writing, Tesla have not confirmed plans to build a factory in the UK, but comes after the company last month applied for a license to become a UK energy provider.