UK car parts manufacturer files for bankruptcy
In a sign of the times it has been confirmed that the UK subsidiary of Visteon Corporation, which was formerly part of the Ford group, has today filed for bankruptcy with the potential loss of 600 jobs in the UK. The business has three car plants in Basildon, Belfast and Enfield making a range of components for the car industry. However, business has been bleak of late and the owners have today taken the first step towards closing down the business.
The UK authorities will now have to answer serious questions regarding their conduct over the last few weeks when money has been promised for the industry but never delivered. There have been claims of severe delays, obstructions and a basic lack of urgency amongst those in charge of the purse strings. Those who follow this site will know that the UK authorities have on numerous occasions refused outright financing and instead considered loan packages. However, even these packages have not been forthcoming.
The knock-on effect to the rest of the industry could be swift and deadly with suppliers and those involved in the car industry policy more concerned about their own cash flow and financial security. Whether this move prompts similar actions across the board remains to be seen but this could be the straw which broke the camel's back.
Share this..
Related stories
Office of Fair Trading set to monitor UK banking sector
As the UK government continues to tighten its grip on the UK banking sector it has received a stark warning from the Office of Fair Trading (OFT). The OFT has reiterated its earlier stance that the UK government must not be able to dictate and dominate the UK banking sector in the short to medium term.
Those who have followed the situation in the UK banking sector will be well aware...
Scottish independence and the fight for the oilfields
As the SNP announces a raft of measures aimed at strengthening the argument for independence for Scotland a number of issues have been highlighted with the main one being the lack of mention of Scottish oilfields. There is no doubt that the Scottish executive would like nothing better than to grasp control of the UK's supply of oil at a time when prices are historically high and demand is starting...
Read MorePostal workers union takes on Royal Mail
Bill Hayes, the Postal workers union leader, has today set the cat amongst the pigeons with a comment that he is "stronger than Scargill" which is a direct comparison to Arthur Scargill who was the bane of the UK government in the 1980s. This will do nothing to improve the reputation of the Labour Party which is effectively at the beck and call of the unions due in the main to the party's difficul...
Read MoreBank of England MPC set to maintain base rate at 0.5%
January's meeting of the Bank of England MPC is widely expected to see little change in the current policy with base rates set to remain at 0.5% and the quantitative easing program unchanged at £200 billion. However, there is a feeling that February could well be a crunch meeting for the MPC with a suggestion that inflation is starting to come to life, the manufacturing industry is improving but...
Read MoreIs this a budget to help Gordon Brown or a budget to help the country?
The UK press is today full of rumours and suggestions as to whether this latest £21 billion gamble by the government is a budget to help Gordon Brown or a budget to help the country. While some of the comments in the press may be a little unfair due to the fact that the government has little option but to follow through on earlier spending promises, by the year 2013 this Labour government would h...
Read More