£100m government investment critical
The government has been told to invest £100m into the car industry supply chain or risk the sector collapsing like a house of cards.
Speaking to MPs on the International Trade committee, Nissan’s head of European manufacturing Colin Lawther urged the government to spend the money to attract car part manufacturers to Britain.
According to The Financial Times, he said, ‘This is critical. If we don’t really invest in the supply base it will be a house of cards effect. Nissan will not succeed in the future, with or without Brexit, unless the government does something to help us in the supply chain.’
Lawther said Nissan sources 85% of its car parts in the UK from outside of Britain. He estimated that an unfavourable post-Brexit deal that saw tariffs imposed on the UK could cost Nissan alone as much as £600m.