17 April 2008
£8.7 million training award from NWDA to Vauxhall Car Plant
gets European seal of approval
The Northwest Regional Development Agency (NWDA) has been given
the green light from the European Commission (EC) to issue an £8.7
million training award to the Vauxhall car plant at Ellesmere Port,
Merseyside.
The NWDA, Department for Business, Enterprise and Regulatory
Reform (DBERR) and the Vauxhall Motors Executive have worked very
closely with the EC following their announcement of an in-depth
investigation into the proposal that commenced in July 2007, to
ensure that there was no breach of EC Treaty state aid rules.
The Commission is now completely satisfied that the grant will
be used for additional training and will not simply subsidise that
which Vauxhall would have already provided without any aid. It will
ensure training goes beyond the basics training necessary for
Vauxhall's operations but will position the plant staff at the very
forefront of world-class capability.
Significantly, the award also supports the future of the plant
following the successful bid to secure the next generation Astra
just last year.
Steven Broomhead, Chief Executive of the NWDA, said:
“The approval from the EU confirms that the Agency will help to
provide funding for training that really will make a
difference.
The staff and management have worked hard to secure the next
generation Astra and we will help them to ensure the workforce is
trained to the highest standards going forward, The plant at
Ellesmere Port has an established history of producing automotive
quality and now it has a future at the forefront of new
production.
“The Agency and its partners have invested considerable efforts
in achieving this result and will continue to work very closely
with Vauxhall as it enters this exciting time."
A spokesman from General Motors UK Ltd. commented:
“We argued consistently throughout this inquiry that, without
NWDA funding, this training would not happen. With the EU’s
approval, we are now in a position to implement a comprehensive
programme that will benefit not just the workers at the plant, but
the North West region as a whole.”
The automotive sector is of paramount importance to the economy
in the Northwest fostering 450 local automotive companies and
employing 43,000 people. It generates an annual business turnover
of £9 billion while the automotive supply base exports 60% of its
products - twice the UK national average.
EU Competition Commissioner Neelie Kroes commented:
“Our investigation has shown that the aid will add real value to
Vauxhall's ambitious training programme. I am pleased to approve
aid which will make a genuine contribution to the skills and
competitiveness of European car workers."
ENDS
Notes to Editors:
Vauxhall Motors Ltd is part of the General Motors group.
Vauxhall's plant in Ellesmere Port employs 2200 staff
Vauxhall has developed a comprehensive staff training programme
for the years 2007-2012.
As required under EU state aid rules, the UK informed the
Commission in February 2007 that it planned to subsidise Vauxhall's
training programme by a £8.7 million (€11 million) grant.
For further information please contact Neil Roscoe, Press Officer
on 01925 400232 or mobile 07980 713282 or neil.roscoe@nwda.co.uk
For further information and to view previous press releases
visit us at www.nwda.co.uk
The Northwest Regional Development Agency (NWDA) leads the
economic development and regeneration of England's Northwest and is
responsible for:
• Supporting business growth and encouraging investment
• Matching skills provision to employer needs
• Creating the conditions for economic growth
• Connecting the region through effective transport and
communication infrastructure
• Promoting the region’s outstanding quality of life