Jaguar faces tough bail out testsDecember 21st, 2008 - 5:56 pm ICT by ANI
London, Dec 21 (ANI): British Business Secretary Lord Mandelson has warned Jaguar Land Rover that it faces tough tests before any bail-out.
Playing down the prospect of a quick bailout for the British car industry, the British Business Secretary said the firms owners first had to look to themselves.
His comments came amid mounting pressure for ministers to offer aid after US President George Bush stepped in on Friday with a 17.4 billion dollar loan for American carmakers, the Daily Star reported.
Labour peer Lord Bhattacharyya has suggested similar measures will be forthcoming in the UK fairly soon.
Government officials are keeping in close contact with Jaguar Land Rover as union leaders warn that tens of thousands of jobs could be lost without immediate support for the car industry.
Speaking to The Observer newspaper, Lord Mandelson said: I am closely following the fortunes of Jaguar Land Rover. My officials are in close touch with the company.
But he added: The Government cannot be the first call for help in these circumstances. The company’’s owners have got to look to themselves and their own resources. If there is anything the Government can appropriately do for any such company, then they will have to meet - and pass - some pretty tough tests.
Calls for Government assistance have intensified since Bush announced support for General Motors and Chrysler in the US. He said letting them go bust was not a “responsible course of action”. (ANI)
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