Loans for manufacturers

[Volksy]

So the government has decided to give billions in loans to secure the future of the UK car industry, granted it will be safeguarding huge amounts of jobs within the industry and their suppliers. However I was under the understanding that there pretty much wasn't any major uk owned manufacturers left? So are we now safeguarding the economy of overseas corporations as bribary to keep their manufacturing base in the UK?

There is some interesting statements in this article that means they will have to build greener cars, and provide incentives for people to buy them. although 1bn in loans is, i would say, rather a small amount of incentive for manufacturers given the development costs that are involved.

 

BBC news article here

[Torsten2001]

Should've re nationalised Rover and made the Government and public sectors use the them. It still sickens me to see the Police use BMW's, London Transport using Mercs and the Fire Service using Scanias amongst others.

[Richard]

What UK car industry would this be?

[hobo]

aah,Richard.bloody good question

[retrogeezer]

What UK car industry would this be?

[Mr Lobster]

Can't see this will make any difference really. It all looks a bit smoke and mirrors really with money being available by EU grants if the manufacturers start building a next generation of greener cars.Does nothing to address the problem of people not buying much in the way of new cars at the moment or the vast fields full of new, unsold stock.

[pogweasel]

Yup. Total load of cock. If they wanted to be useful, they could give US a big wad of cash each to do with as we like - be it buy a car or wazz it up the wall after buying loads of lovely brown beer... but the catch would be you HAD to spend it ALL within a certain time frame or you lose it. Should get things moving much better than luzzing money at corporations and banks who just promptly eat it without passing on any benefit.

[Mr Lobster]

Like a sort of government funded "Brewsters Millions" Pog?Unlikely I imagine

[pogweasel]

Like a sort of government funded "Brewsters Millions" Pog?Unlikely I imagine

Exactly like that. I shall take the role of Richard Prior, only less funny, white, short and fuelled by Old Speckled Hen.

[Mr H Sceptre]

Yeah, didnt see the Govt putting their hands in their pockets when Rover was going down the swanny.Also, whats the point on throwing cash at manufacturers to build more cars when there are fields full of unsold stocks. The problem is that nobody can afford/get finance to buy them.Rant over.

[Guest]

but they did didn't they, I remember Rover getting some cash to cover the payroll while the Chinese were given a last chance to buy them out. And thats in addition to the billions of pounds swallowed up while nationalised, and the huge amount of money written off when sold to BAE.the argument is, do you keep the firms going and keep people in work at a time of mass layoffs, or do you let them die and suddenly your dole costs/crime rates are through the roof. I'm not sure which is the lesser evil to be honest.

[CortinaDave]

I seem to remember last year they slapped a showroom tax on new cars and vastly upped the road tax to be "green"Result : No one buys new carsGovernment then complain that we're not buying cars. FFS!