Following Nissan’s official announcement over their Sunderland factory, UK’s business minister said he had not opened the ‘check book’ to secure a deal with the Japanese car maker.
Nissan said that they will build the next generation of the Qashqai and X-Trail crossover in the Sunderland plant after the UK government’s commitment to ensure that the country’s biggest car plant remains competitive in the post-Brexit era.
The car maker had warned that they will halt any new investments in their UK-based facilities without a guarantee of compensation if tariffs were imposed on car exports as part of the country’s divorce with the European Union.
Speaking to BBC television, Business secretary Greg Clark said “This was not a haggle over money. This was a vote of confidence in the future of the automotive sector.”
“There’s no check book. I don’t have a check book,” he said when asked repeatedly whether the UK government promised financial support in return for the investment.
Reuters on the other hand had a source telling them that the government sent a letter to Nissan, promising extra support in case Brexit hits the competitiveness of the Sunderland factory.
Ford, which has produced almost two thirds of the country’s 2.4 million engines last year, has commented that any Brexit deals should apply across the industry.
“It’s got to be something that is not custom-made for each manufacturer,” Jim Farley, vice president for Europe, Middle East & Africa, told BBC radio. “I can imagine that the UK government is looking at the auto sector as a whole,” he said.
Via Reuters
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