Government to protect Nissan jobs

Dec 18 2008 by William Green, The Journal

Let's plan for beyond the recession, says MP

NORTH East MP Fraser Kemp yesterday urged ministers to help Nissan successfully emerge from the recession and benefit from the eventual economic recovery.

The Nissan car plant in Washington was a source of pride for the North East and was at the centre of the highest concentration of motor manufacturing in any British constituency, said the Labour MP.

He added that the UK car industry was highly efficient and the envy of the world, and urged the Government to consider practical steps to avoid the “tragedy” of job losses during a debate in Westminster.

“The effects that car companies are facing at the moment are not a result of how they operate or their efficiency.

“It is because of the global turmoil that we face and I welcome the Government’s engagement with the industry. This isn’t about a huge bung for the industry. I think the industry, trade unions and manufacturers and the supply chain as well are looking at sensible measures, which can assist,” said Mr Kemp.

He warned against protectionism with a substantial amount of the North East’s products being exported, and added: “Many of the finance houses, which are involved in the motor industry, operate like banks and they are a multi-billion-pound operation.

“So in a similar way of how we approach fiscal easing with the financial sector, I think many of the finance houses should be included in that in order that we can increase liquidity.”

Providing training for staff during temporary suspensions of car production was vital, added the Labour MP.

He also said: “There will be an inevitable reduction in global capacity.”

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