Government under fresh pressure to help Jaguar Land Rover
“And they have been investing in new research and development for the future.
“Different industries will have different problems at this time. There is a problem about consumer demand in the car industry.
“We of course talk to the larger companies in our country regularly. But I’ve got no announcement or decision to make about what we can do. These are issues that will be debated over the next period of time, but there is no promise that we’ve made of any support.”
Derek Simpson, joint leader of the Unite union, said it was “disappointing” that no agreement on a rescue package had yet been reached.
He urged the Treasury not to delay any longer in providing short-term financial assistance to the UK’s ailing car industry. “Government must establish a strategic funding mechanism for the car industry within days, not weeks. It was disappointing to hear the Prime Minister say earlier today that no agreement on a package has yet been reached.
“The urgency of the situation dictates that the Government must, however, do as it did with the banks and lose no time in intervening with vital assistance. It is simply no good bailing out the banks if the banks won’t then bail out business.
“Only action by the Treasury in the next few days will safeguard the tens of thousands of jobs and the many communities across the country.”
Unite has been pressing for a £13 billion strategic support package from the Government.
Business Secretary Lord Mandelson has warned that the Government did not have an “open chequebook” to help struggling companies.
