Treasury working on measures to help British car industry
The government is considering measures to provide easier access to car manufacturers and suppliers, amid possibility of thousands of redundancies due to crises in American auto industry.
The industry is optimistic that government would utilise guarantee scheme and £400bn banking loan for providing liquidity to automakers’ consumer finance arms.
Leading European industry executives had warned that US auto industry crisis would lead to huge job loss in Europe. The carmakers’ lobby is pressing the European commission to extend support worth £36bn (€40bn) to industry in the New Year.
Britain’s SMMT has urged business department to provide access to the Bank of England and liquidity bail-out scheme in return for furnishing commercial paper.
SMMT has also requested that the business secretary forces banks to start lending on softer terms to suppliers or provide them direct loans or guarantees to tide over short-term cash flow problems.
According to SMMT chief executive, Paul Everitt, government measures could come within CBI’s proposed liquidity package. Any measure which would help in availing cash or providing access to finance and credit would be well received by the industry.
Everitt pointed out that situation in Europe, particularly the UK, was quite different from the US car industry. He claimed that government was responding positively and the UK industry would continue to garner support for manufacturing and employment.
The government spokeswoman stated that government was ensuring to provide support to British companies in construction, steel and auto through prevailing difficult times.
Other Aspects:| Car Park Barriers |
| SB Commercials Website |
| tappeti moderni |
Discussion Area - Leave a Comment