According to new statistics from the
Society of Motor Manufacturers and Traders (SMMT),
car production slumped by 59 per cent in February. Furthermore,
a proposed buyout of the
van production
company LDV has been refused by the owner of the company,
Russian group Gaz.
Car production has fallen dramatically as
car companies have slowed their output due to a lack of demand
for new cars . Many plants have chosen shorter working days and
pay cuts to prevent widespread
redundancies .
The chief executive of the
SMMT, Paul Everitt, reportedly commented: We have seen
action to encourage longer-term
investment but still require government support for short-term
working, easier access to
finance and
credit and the implementation of a
vehicle scrappage scheme.
Car companies and
vehicle finance arms around the UK are facing considerable
obstructions to business, with the demand for
new cars extremely low.
