Jaguar Secures Pounds 300 Million Investment for New Plant in UK

Strategic Insights -

Jaguar has confirmed its decision to invest Pounds 300 million in a new plant in the UK, with negotiations ongoing for a Pounds 80 million government grant to help fund the project. The investment, which will create up to 3,000 jobs, has been welcomed by MPs and union leaders, who see it as a major boost for the British manufacturing industry. The new plant, codenamed X400, will be built at Ford's Halewood site on Merseyside and will produce a new "baby" saloon, competing with BMW's 3-series and the Mercedes C-class.

Key Takeaways:

  • Jaguar will invest Pounds 300 million in a new plant in the UK, with negotiations ongoing for a Pounds 80 million government grant.
  • The investment will create up to 3,000 jobs, including 1,800 direct jobs and up to 1,000 more in component supply companies.
  • The new plant, codenamed X400, will be built at Ford's Halewood site on Merseyside and will produce a new "baby" saloon.
  • Unions accepted a package of changes on future working practices to clear the way for Jaguar to take over the Halewood plant.
  • The investment is seen as a major boost for the British manufacturing industry, with sentiment playing a part in Jaguar's decision to stay in the UK.
  • Jac Nasser, Ford of Europe president, said the decision was a win for Merseyside and Britain, and would help Ford reduce excess capacity in Europe.
  • The new plant will enable Ford to end production of the Escort at Halewood in 2001 and start producing the new Jaguar in 2002.

Statistics:

  • Pounds 300 million: the amount of investment Jaguar will put into the new plant in the UK.
  • up to 3,000 jobs: the number of jobs that will be created by the investment, including 1,800 direct jobs and up to 1,000 more in component supply companies.
  • Pounds 80 million: the amount of government grant that Jaguar is seeking to help fund the project.
  • 1989: the year Ford bought Jaguar for Pounds 1.6 billion.
  • Pounds 1.6 billion: the amount Ford paid to buy Jaguar in 1989.
  • 1,800: the number of jobs being secured by the new plant.
  • 3,000 to 4,000: the number of jobs that will be created at Jaguar's Midlands headquarters and in component supply companies.
  • 2001: the year Ford will end production of the Escort at Halewood.
  • 2002: the year the new Jaguar will start rolling off assembly lines at Halewood.

Sources:

  • "The Times", 1998
  • Jaguar's chairman, Nick Scheele
  • Ian McCartney, the Trade and Industry Minister
  • Tony Woodley, the chief union negotiator at Ford
  • Jac Nasser, Ford of Europe president