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Government backing for new greener Land Rover model


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Issued Date: 11 Mar 2009

Business Secretary Lord Mandelson today announced that up to 27 million of Government support will be made available to Jaguar Land Rover for the production of an all-new car based on Land Rover's LRX Concept.

Jaguar Land Rover is looking to invest some 400 million in the project that would help safeguard jobs and lead to the production of a new greener model.

The government is supporting the project with up to 27 million under the Grant for Business Investment scheme. This is separate from the 2.3 billion Automotive Assistance Programme being discussed today at a Government seminar for manufacturers and supply chain companies.

The vehicle would be designed, developed and produced in the UK, securing production and employment at the company's Halewood facility, where it would be built.

Business Secretary Peter Mandelson said:

"The Government is fully committed to supporting the UK automotive industry as it moves to a lower carbon future. This project aims to design and build a greener car in the UK, safeguarding vital skills and technologies.

"The project would secure production and employment at the Halewood facility and maintain the design capability for Jaguar Land Rover in the UK. This is an important investment for the future and we are delighted to be able to offer this grant support."


1. The Industrial Development Advisory Board (IDAB) is appointed under Section 10 of the Industrial Development Act 1982. It provides independent advice to Ministers in BERR on applications from companies who are proposing to undertake capital investment projects in the Assisted Areas in England and have applied for financial assistance under the Grant for Business Investment (GBI) scheme.

2. This grant is subject to approval from the European Commission. Government officials will now be working closely on this with the EC.

3. The company hopes to launch the car in 2011 and it will be far more fuel and CO2 efficient. It will offer innovative greener stop-start capabilities while a future hybrid version will deliver around 120g/km.

4. The Grant for Business Investment scheme is part of Solutions for Business, the government's streamlined portfolio of business support products accessible via Business Link.

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Crown Copyright. Material taken from the BERR- Department for Business, Enterprise and Regulatory Reform replacing DTI - Department for Trade and Industry. Reproduced under the terms and conditions of the Click-Use Licence.

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Article Published/Sorted/Amended on Scopulus 2009-03-13 12:20:57 in Economic Articles

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