According to recent reports, the bailout
package for
Jaguar
Land Rover, which may be worth hundreds of millions of pounds,
is not likely to come until the end of January. The
trouble-stricken
company, sold by
Ford to Indian company
Tata last year, needs a huge
cash injection to get back on track.
How the bailout proceeds depends on the government. The company may
be given
loans to protect thousands of jobs. The government may also
take
shares in the
car company. Some form of help may already have been provided
to JLR over the Christmas period.
A ministerial source has reportedly commented: Tata has been
hit by its exposure to falling demand for steel. At the moment,
they are telling us they have no
money but it's very hard to quantify this exactly. We need
them [Tata] to put their hands in the pockets. They cannot just
expect a big
rescue package with nothing in return. There will be no money
for nothing. We want to make sure the taxpayer does well out of
this when the firm emerges from the recession.
