UK car plant at risk of closure LDV?

This is potentially incendiary and perhaps explains why this has been downplayed in the media.

- Mandy's department may be bailing out van manufacturer LDF

- LDF is owned by Gaz, controlled by Oleg Deripaska

- We all know how close Mandy and Deripaska are

The danger is that the Tories may not run with this if they are exposed over Osborne.

http://news.bbc.co.uk/1/hi/business/7904918.stm
 
To 'bring down' Mr. Mandelson, or to cover him in the nasty stuff - again - I reckon it is worth sacrificing Osborne.
 

Biped

LE
Book Reviewer
They want money for a management buy-out, not to support the business - that'll come after the management has bought the company and realise what a pig it is in the current climate.

The buy-out will of course facilitate the continued profitability of the Russian as he'll be able to bail out with his pockets intact - thanks I'm sure to Mandy.

A few sweet nothings whispered on a private yacht can do wonders these days.
 

Mr-D

War Hero
Does look like LDV doesn't it?

This is from the motor trade press this morning,


Russian-owned van manufacturer LDV is to have emergency talks with Lord Mandelson today in order to secure a £40 million lifeline to fund a management buy-out of the business.

GAZ, LDV’s parent company has seen LDV sales almost halve in the last three months causing its UK plant to shut down production since December 12.

It is thought that about 6,000 jobs would be lost if LDV collapses, with about 900 employed directly at the plant, 1,200 in the dealership network and 4,000 in the supply chain.

A spokesman for LDV confirmed that talks with the Government were expected today.

He said: “We have been requesting urgent help. It is critical in days and weeks that there is action to preserve jobs and the manufacturing base.”

He said that LDV had invested heavily in environmentally friendly technology and that the investment should be preserved.

It has been said that GAZ has cut finance to LDV as it struggles with problems in the Russian market. However, LDV has said that it is still receiving money from GAZ.

Tony Woodley, Unite’s joint general secretary, said: “What is the point of having £1.1 billion of government money for the car industry if it is not used to help protect jobs under immediate threat?

“We have given billions to the banks and have so far achieved nothing with that. It is the economics of madness not to help good manufacturers.”

LDV was bought by Deripaska in 2006 for approximately £50 million when it was on the brink of collapse. Since then £25 million has been invested and the group plans to manufacture an electric van.
 
That will be LDV as owned by Lord Mandelson's sailing chum as reported in another thread.

It is all very well bailing out car or van makers, but the bottom line there is no demand. Even if they keep staff on and produce subsidised cars, who is going to buy them. The whole emphasis of UK Gov't policy has been to free up banks to let them re-start lending. This is the same lending that got us into the mess in the first place. Policy should be focussed on giving people real money to spend or save - both of which stimmulate the economy. When you have no money a 2.5% cut in VAT makes very little difference.

Whilst Big G is quick to point out that every measure he is using is the same as the USA and others are using, what he doesn't mention is that the USA are handing back money to the taxpayer to get them spending. Big G on the other hand is stacking up bills and everyone now knows that tax burden is going to go through the roof as soon as the next election is over. Who the hell is going to go out and spend with a massive tax-hike on the horizon?
 
It's LDV.

And they are/were a smashing firm with a high quality of product. As for the connections between Mandy and it's boss, that's nothing more than a taint, which is very unfortunate, the only people liable to suffer are the Hodge Hill Brummies.

The important thing here, is keeping this van maker going. They have been successful in the past, and are major fleet suppliers. Liam makes mention of their Green plans, which are major and could lead the world in Green light van technology.

The alternative, is of course to buy LDV back into Government ownership.

I'm beginning to wonder whether it isn't an idea to buy 'strategic' motor manufacturers back in, like Land Rover and LDV?
 
PartTimePongo said:
I'm beginning to wonder whether it isn't an idea to buy 'strategic' motor manufacturers back in, like Land Rover and LDV?
You mean return to the 'jobs for the boys' era? How are you going to ensure that such a policy will benefit UK Plc rather than just be a financial black hole?

Also, Woodley's original statement that 6,000 jobs were to go and a plant closure were refering to Ellesmere. See earlier in the thread for the link to his admission to the Telegraph.
 
It looks as if the Gov't is not going to bail LDV out (correct decision IMHO). Arguments will begin on whether the inviolvement of Lord Mandy has forced this decision. Arguably the government is in the awkward position of being damned if they do, damned if they don't.

Moral of the story is don't let corupt slimeballs like Mandy get (back) into positions of power and influence.
 
PartTimePongo said:
It's LDV.

And they are/were a smashing firm with a high quality of product.
Yeah right! the two we took to Germany must have been Friday afternoon jobs then. wheel bearing going doors not shutting right horrible judders warning lights on for no reason. TBH most sales of LDV are because they are cheaper than the likes of a transit/merc etc. not because they are superior products.
 
whitecity said:
PartTimePongo said:
I'm beginning to wonder whether it isn't an idea to buy 'strategic' motor manufacturers back in, like Land Rover and LDV?
You mean return to the 'jobs for the boys' era? How are you going to ensure that such a policy will benefit UK Plc rather than just be a financial black hole?

Also, Woodley's original statement that 6,000 jobs were to go and a plant closure were refering to Ellesmere. See earlier in the thread for the link to his admission to the Telegraph.
Woodley hasn't admitted where he meant to anyone, it's an 'un-named senior motor industry source' according to the DT, which normally means in a newspaper 'We've jumped on the bandwagon and made the comment up'!
 
psychobabble said:
whitecity said:
PartTimePongo said:
I'm beginning to wonder whether it isn't an idea to buy 'strategic' motor manufacturers back in, like Land Rover and LDV?
You mean return to the 'jobs for the boys' era? How are you going to ensure that such a policy will benefit UK Plc rather than just be a financial black hole?

Also, Woodley's original statement that 6,000 jobs were to go and a plant closure were refering to Ellesmere. See earlier in the thread for the link to his admission to the Telegraph.
Woodley hasn't admitted where he meant to anyone, it's an 'un-named senior motor industry source' according to the DT, which normally means in a newspaper 'We've jumped on the bandwagon and made the comment up'!
My apologies. You are correct. Thank you. I misread the article applying poor attention to detail. :(
 
brettarider said:
PartTimePongo said:
It's LDV.

And they are/were a smashing firm with a high quality of product.
Yeah right! the two we took to Germany must have been Friday afternoon jobs then. wheel bearing going doors not shutting right horrible judders warning lights on for no reason. TBH most sales of LDV are because they are cheaper than the likes of a transit/merc etc. not because they are superior products.
Sorry to hear that Brett, no problems with our White Fleet, Good vehicles all round.

Which of course does make me wonder what we'll use after LDV go chebs up
 
Mr-D said:
.......................LDV was bought by Deripaska in 2006 for approximately £50 million when it was on the brink of collapse. Since then £25 million has been invested and the group plans to manufacture an electric van.
Interesting how things come back round again.

They were around yonks ago and were called milk floats.
 
Both were low milers as well one an o6 plate the other an o7 plate door seals coming off/central locking not working as well. As to what van we get not bothered as long as it's not the horrible Renault Prima minibuses that we had in the mid 90's who ordered them should have been shot
 
Christ I remember those, they were gopping!!! Uncomfortable seats , rolled like the Ark Royal, they were horrid. I'd rather get from A+B in a 4 Tonner.

Seriously though Brett, any alternative is likely to be more expensive, unless the Government agree to a part bailout for spares support?
 
LDV truly dreadful vans, slow, guttless and appear to have their own standard for load area. Anything that fitted into the transit/traffic/sprinter wouldnt fit in the LDV.

Door handles (inside) off the Austin Maxi :)
 

Argee2007

War Hero
The big problem just now is that there is too much competition, the same as with the banks, the government really needed to reduce the amount, at least with Lloyds and HBOS joining it reduced the marketplace a bit, but more need to go.

It's the exact same with the car industry, the government really could do something good here, Landrover are in trouble, Mini are in trouble and LDV are in trouble, if all three go to the wall the government could get in there, take the best bits and amalgamate them into one company, then with the government contract to produce all their vehicles it would have the work to start with along with their external orders. I can't really describe the idea in one paragraph so hopefully people get the idea.
 

Latest Threads

Top