Abstract This study introduces the concept of a multifunctional fibre metal laminate (FML), specifically, one which utilises ferromagnetic foil in combination with carbon fibre reinforced epoxy to produce a FML which is magnetically functional and structurally efficient. The aim is to develop such a material/structure for use in future high output, low mass, electrical machines and embedded actuation. The work presented here compares surface treatment schemes of the metal foil and the use of two different resin films for optimum laminate manufacture. Laminates with different thicknesses of Fe–Co steel foil and either two or four plies of carbon fibre reinforced epoxy were manufactured and their mechanical properties evaluated.