Lord Mandelson earlier this week gave a
statement to the
House of Lords regarding the aid package intended for
car companies and
car finance arms in the UK. The
auto industry has suffered a major downturn, with
new car sales slumping and thousands of jobs at risk.
Mandelson was reported as commenting: My Lords I want to make
a statement on the Government's plans to help the British
automotive industry weather the downturn in the global economy.
The
automotive industry - with its near one million employees from
manufacturing to retailing and £10 billion added value to the
economy - is in the front line of the downturn, with output falling
faster and further than any other sector since the
summer.
He reportedly continued: We need to counter this to prevent
an irreversible loss of capacity, skills and technology. The health
of the automotive industry is vital to the strength of
manufacturing in Britain and is at the heart of many of our
regional economies.
Mandelson pledged £2.3 billion in support for
vehicle manufacturers and
vehicle finance arms, with applications assessed on a case by
case basis.
