F&I Management & Training

Jaguar Land Rover wants to tap the UK government's £2.3 billion funding package for vehicle manufacturers to the tune of £781 million to prevent 'devastating' damage to the company. A few days ago the company said it had already applied to the European Investment Bank for £281m in loans - the cash is part of the overall package arrangement. India's Tata Group, which owns JLR, has now warned the government that it needs another £500m or further job cuts are inevitable. Tata Group boss Ratan Tata is reported to have said: "If funds are not available, a company will not be able to run. So lay-offs will take place, redundancies will take place or in some cases, as has already happened in the UK, not with us, plants have been closed." In criticising the government for failing to provide cash help when first requested weeks ago, he added: "If the attitude is to see who blinks first, then the damage is going to be quite devastating. We are not coming for a bailout." The Department for Business, Enterprise and Regulatory Reform responded by saying that the 'primary responsibility' for funding JLR rested with Tata. A spokesman added: "The Government continues to have discussions with JLR over its long-term business plans."

DATED: 26.03.09

FEED: AW