BUSINESS

JLR, Vauxhall to benefit from British package

LONDON: Britain joined other governments bailing out their auto industries by announcing a $3.2-billion aid package on Tuesday, after three months of pleas from unions and executives of Jaguar Land Rover and Vauxhall, a General Motors brand.

Access to loan

The government offered automakers and suppliers access to 1.3 billion pound ($1.8 billion) in loan guarantees from the European Investment Bank, topped off with another one billion pound from the Treasury, the business secretary, Peter Mandelson, told Parliament on Tuesday. He said the Government would also increase the amount that it spent on the training of employees.

Tatas-owned Jaguar-Land Rover and Britain’s Vauxhall are expected to benefit substantially from the 2.3-billion pound loan package announced by the British Government.

Welcoming the announcement, Jaguar Land Rover Chief Executive David Smith said: “The Government has recognised the strategic economic importance of the car industry in the U.K. as a major provider of high-skilled jobs and a significant contributor to our balance of trade.” — AP, PTI

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