Downing Street Says

Asked to comment on the redundancies at Peugeot, the Prime Minister’s Official Spokesman (PMOS) said that we recognised that it would be of deep concern to those involved. It was helpful however that there was a timescale, 2007, which would allow some time for people to begin the process of readjustment. As in other similar circumstances the usual agencies West Midlands Development Agency, Jobcentre Plus and others were engaged in the process of providing support and retraining opportunities. For example from the Rover package announced at the time there were now over 4000 back in work and 1300 in the supply chain had been saved.

Alan Johnson had also recently allocated £3 million funding for vocational training for 14-19 year olds in the Longbridge area. This showed the results there could be from this type of thing. Asked if there was a specific package on the table in Peugeot’s case, the PMOS said it was early days yet, but in terms of the response those were the agencies that would be going in. The DTI were talking to Peugeot about the overall nature of the issue.

Asked if manufacturing was sustainable in this country anymore, the PMOS pointed out that there were 200,000 jobs related to the automotive industry in the UK. There were more global brands from the car industry, which produced all or part of their product, in this country than any other EU country. Asked if he could rule out any direct Government help, the PMOS said that he would not get into discussing what the response of the DTI would be at this early stage. Asked if he was not ruling it out, the PMOS said that he was saying that the correct response would come via the DTI and not him as was appropriate.

1 Comment »

UK taxes and a general lack of any culture of ‘Investors in Industry’ has caused this closure.

Peugeot need to build a new production line for a new model, they have chosen to locate the new production line in a more economical location.

The DTI must have known about this scenario for several years but has chosen to further dilute our manufacturing base.

I’m no longer sure what the initials DTI stand for – it certainly has nothing to do with Industry.

Suggestions……?
Comment by Roger Huffadine — 20 Apr 2006 on 6:16 pm | Link

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» Tuesday, April 18, 2006

Peugeot

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