Feeds

Tata threatens govt over e-car loan decision

'Give us the cash, or else!'

Choosing a cloud hosting partner with confidence

Leccy Tech The government’s relationship with Indian car maker Tata could be turning sour, following delays over a multi-million pound e-car loan.

Tata_01

Tata wants a £10m govt loan to help it build a UK e-car production line

Back in April Tata applied to the government for a £10m ($16.3m/€11.6m) loan to help set-up a UK production line for its Indica Vista leccy hatchback.

But Tata’s since been told by the Department of Business Innovation and Skills that a decision on the loan won't be made for another eight weeks – significantly extending the length of time that Tata must wait for an answer.

Tata – which also owns Jaguar Land-Rover - has implied that this just isn’t good enough - threatening to bin entire the project if a decision isn’t reached pretty damn quickly.

If Tata is awarded funding then the cash will come from a £2.3bn ($3.8bn/€2.7bn) car assistance package, which the government announced back in January. The cash is earmarked for schemes that could help the UK car industry out of the current crisis and eco-friendly car development projects.

But it’s worth noting that a cross-party group of MPs recently pointed out that, to date, the government hasn’t spent a single penny of its car assistance package cash.

To make matters worse, the government is also still haggling with Tata over the exact terms of a €340m ($556m/€394m) loan that Jaguar Land-Rover agreed with the European Investment Bank back in April.

Reading between the lines, the government's caution may be something to do with the fact that it lent MG Rover £6.5m ($10.6/€7.5m) back in April 2005 - only to see both the cash and the company vanish down the toilet almost immediately afterwards. ®

Top 5 reasons to deploy VMware with Tegile

More from The Register

next story
FORGET the CLIMATE: FATTIES are a MUCH BIGGER problem - study
Fat guy? Drink or smoke? You're worse than a TERRORIST
Renewable energy 'simply WON'T WORK': Top Google engineers
Windmills, solar, tidal - all a 'false hope', say Stanford PhDs
Rosetta probot drilling DENIED: Philae has its 'LEG in the AIR'
NOT best position for scientific fulfillment
SEX BEAST SEALS may be egging each other on to ATTACK PENGUINS
Boffin: 'I think the behaviour is increasing in frequency'
HUMAN DNA 'will be FOUND ON MOON' – rocking boffin Brian Cox
Crowdfund plan to stimulate Blighty's space programme
Post-pub nosh neckfiller: The MIGHTY Scotch egg
Off to the boozer? This delicacy might help mitigate the effects
I'M SO SORRY, sobs Rosetta Brit boffin in 'sexist' sexy shirt storm
'He is just being himself' says proud mum of larger-than-life physicist
NASA launches new climate model at SC14
75 days of supercomputing later ...
Britain's HUMAN DNA-strewing Moon mission rakes in £200k
3 days, and Kickstarter moves lander 37% nearer takeoff
prev story

Whitepapers

Why cloud backup?
Combining the latest advancements in disk-based backup with secure, integrated, cloud technologies offer organizations fast and assured recovery of their critical enterprise data.
Forging a new future with identity relationship management
Learn about ForgeRock's next generation IRM platform and how it is designed to empower CEOS's and enterprises to engage with consumers.
Reg Reader Research: SaaS based Email and Office Productivity Tools
Read this Reg reader report which provides advice and guidance for SMBs towards the use of SaaS based email and Office productivity tools.
Getting ahead of the compliance curve
Learn about new services that make it easy to discover and manage certificates across the enterprise and how to get ahead of the compliance curve.
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.