Qualified advisers answering your
Financial Questions
call 0800 092 1245

Jaguar Land Rover dumps the UK government

Despite the fact the business needs to find in excess of £1 billion by September the Indian owners of Jaguar Land Rover have today dumped the UK government and its offer of "assistance". As we covered yesterday, the UK government had offered assistance in finding additional capital to keep the business afloat in exchange for a seat on the board, day-to-day control of the business and a veto on future chairman, as well as investment and employment initiatives. As you might expect, Tata, the Indian parent company of the group, rejected this move out right and has decided to go it alone.

While there are pros and cons with regards to the attitude and actions of the UK government there is no doubt that if Jaguar Land Rover were to fail there are significant implications for the UK employment market. The company has now handed over all fundraising activities to Citigroup in the hope that an investor will be found to underwrite a potential £340 million loan from the European Investment Bank and up to £1 billion in short-term financing from debt markets.

This is a fairly brave move on behalf of the parent company but in many ways, with the UK government demanding excessive influence in the future, they had little option but to walk away.

Share this..

Related stories

Financial Guides

Financial Calculators

Our useful calculators can help you get your finances in order:

Latest News


Helpful new tax year facts that could affect you and your money

Blog | Seven helpful new 2016/2017 tax year facts that could affect you and your money. Our recent online blog shares a brief outline on how to stay up to date.

Read more

Useful Links

Popular Searches

Please Enter More Details

Enter More Details