Warwickshire News Mine

Warwickshire County Council’s Cabinet member for Economic Development, Cllr Chris Saint, is delighted at the indications from Tata to not only secure employment at the vast Gaydon site in the south of the county, but to also invest in its future development.

He said: “I’m extremely encouraged at the positive messages coming from Tata and what this could mean for the Jaguar Land Rover Headquarters site Gaydon which already employs 2,800 staff.

“This site already houses a world class design and technical centre and from what I have heard so far Tata will not only keep Gaydon as its Jaguar Land Rover HQ, but will invest in its future development.

“Tata has clearly recognised the value of the Gaydon site, which with Aston Martin and the Heritage Motor Centre employs a total of almost 5,000 people – making this the major private sector employment site in Warwickshire. The Heritage Motor Centre has also recently opened new lottery funded attractions and is planning to build a hotel to cater for its seminar delegates, all of which are very encouraging signs for the future.”

Ford announced to the New York Stock Exchange at mid-day Wednesday UK time that it had entered into ‘a definitive agreement’ with Tata to sell Jaguar and Land Rover for £1.15 billion. The sale is subject to regulatory approvals and is expected to close by midyear.

Under the terms of the deal, Ford will contribute about £300m to the Jaguar and Land Rover pension plans.

Ford will continue to supply Jaguar and Land Rover for differing periods with engines, stampings and other car components, in addition to a variety of technologies.

In addition, Ford Motor Credit Company will provide financing for Jaguar and Land Rover dealers and customers during a transitional period of up to 12 months.

Tata is expected to keep to the present business plan for Jaguar Land Rover until 2011.

Tata group chairman Ratan Tata said the Jaguar and Land Rover identities will be ‘left intact’ and their management teams will be allowed to develop the businesses.

Roger Maddison, the Unite trade union’s national officer for the automotive industry, said in a statement: "Today’s deal is really good news for the UK automotive industry and the thousands of people who work for Land Rover Jaguar and its supply chain.

"Unite has secured written guarantees for all UK plants on staffing levels, employee terms and conditions, including pensions, and sourcing agreements. The sale ensures our members futures and we look forward to working with Tata."

Link to WCC