Business secretary Vince Cable has sent out strong signals that car makers can no longer expect subsidies to make cars in the UK.
Speaking to Autocar at today’s SMMT conference in central London he said stated: “I don’t see the future as large scale funding for particular companies. We can’t fight a subsidy war.”
Cable insisted that he saw future government money going towards supporting the car business as a whole pledging support for investment in research, technical education, more apprenticeships in the motor industry and attracting inward investment through lowering corporation tax and creating a stable economy.
The business secretary also denied that the much heralded £5000 subsidy for anyone buying an electric car was going to be scrapped, admitting that it was still “actively under consideration”.
He also pledged support for Britain’s luxury car business arguing, “we’re not trying to turn every car into a Nissan Leaf”.
“There’s variety in the motor industry and it needs to be supported,’ he said.
