Are we about to see another bale out at taxpayers expense?.. LAND ROVER/JAGUAR

[md25 10]

I see economics is not your strong subject.

It is the increase in debt that has to be financed by the UK taxpayer as interest repayments. As this amount increases due to government borrowing, confidence in the UK industry deciles and takes Sterling with it. This is why the £UK has tumbled 30% against most major currencies.

 

It is also why UK tax payers are not forking out for new Jaguars, as they know that taxes will increase shortly to pay off this mounting debt.

The government's going to start printing money instead of taxing more soon. This will have the unpleasant effect of stoking inflation, but then again a few years of 10% inflation would halve debts in real terms so maybe that's not such a bad thing...

[JFKvsNixon 11]

The government's going to start printing money instead of taxing more soon. This will have the unpleasant effect of stoking inflation, but then again a few years of 10% inflation would halve debts in real terms so maybe that's not such a bad thing...

 

On wake up to money earlier this week of the radio they were worried about deflation, they were predicting inflation rates lower than 1% by this time next year.

[foxy lady 10]

a few years of 10% inflation would halve debts in real terms so maybe that's not such a bad thing...

 

Sadly not because our debt is to countries where the pound is not the currency. As the pound drops our dept goes up. Borrow a dollar, pay back a dollar plus interest.

[anarchist 10]

Wouldn't it make more sense to stimulate car sales by reducing Vat and other taxes on new cars. This would boost the sales of cars made in the UK as European cars will have the weak pound to contend with.

It seems far more sensible to me to take a little less in VAT rather than put billions into propping up manufacture of cars that aren't selling.

[brianthedog 10]

And let suppliers go under as well plus large chunks of our skilled workforce. Of course, when these are gone, they're gone forever. Our economy can't survive on flipping burgers alone. And your talk is the talk of the luddite.

 

So you'd infinitely bail out an industry even though it isn't viable, and it would cost more than retraining the so-called skilled workers?

 

Do you even know what luddite means? If so, please explain your comment...

[venger 10]

Are we about to see anothe bale out at taxpayers expence.. LAND ROVER/JAGUAR.

 

Just when will our cash run out?

 

 

http://www.mirror.co.uk/news/top-stories/2008/12/18/ministers-have-met-with-jaguar-land-rover-over-the-possibilty-of-state-assistance-115875-20979330/

 

It would not be at the taxpayers expense, it would be a short-term loan, repayable with interest.

 

Saving in excess of 0ver 70,000 dierct and indirect jobs, did you know that jag/LR spend roughly £700 million per year on carbon reduction technology and £400 million on reasearch and development ?

 

They were also profit making for the first half of the year, would you put them out of business ?

[foxy lady 10]

It would not be at the taxpayers expense, it would be a short-term loan, repayable with interest.

 

Saving in excess of 0ver 70,000 dierct and indirect jobs, did you know that jag/LR spend roughly £700 million per year on carbon reduction technology and £400 million on reasearch and development ?

 

They were also profit making for the first half of the year, would you put them out of business ?

 

 

We only get our money back if they stay in business. The banking crisis was caused by loans made in good faith that turned bad. I presume the reason that they are looking for Government (sorry taxpayers) money is because the banks consider them too big a risk.

 

Interesting that the company was only sold to Tata a few months ago and they are immediately needing a bale out. Also interesting is that Tata have announced that the are sponsoring Ferrari in F1. Not a cheap move and one that advertises a competitors products.

 

Interesting indeed.

[venger 10]

We only get our money back if they stay in business. The banking crisis was caused by loans made in good faith that turned bad. I presume the reason that they are looking for Government (sorry taxpayers) money is because the banks consider them too big a risk.

 

Interesting that the company was only sold to Tata a few months ago and they are immediately needing a bale out. Also interesting is that Tata have announced that the are sponsoring Ferrari in F1. Not a cheap move and one that advertises a competitors products.

 

Interesting indeed.

 

Our money ?

 

The banks are being bailed out by the Government also !

 

I am far from an expert on Tata and other multi-national companies, but I am pretty sure that putting money into Formula 1 is not out the goodness of their hearts.

[eckerslike 10]

I get your point, but would anyone actually want to buy a poorly-made 2-3 year old car that's been sitting in a field for all that time?

 

That was what they expected people to do with Marinas and a few years later with Rovers.

 

Yes they bought them. Only problem was they only bought them at a fraction of their manufacturing cost.

 

Last year they were still selling MG TFs at under 10 grand and Rover 25s at under 6 grand.

 

This time it could be worse. In a credit crunch what is the point of stock piling Range Rovers that do 12 MPG. Does the Government really want to subsidise people to buy Chelsea Tractors that do 12 MPG. If they wanted to do that Londons congestion charge would not penalise gas guzzlers.

[Tomataheeed 10]

Our money ?

 

The banks are being bailed out by the Government also !

 

I am far from an expert on Tata and other multi-national companies, but I am pretty sure that putting money into Formula 1 is not out the goodness of their hearts.

 

Of course its not out of the goodness of their own hearts but its hardly the most intelligent spend when your business is struggling.

 

Having said that, a lot of the motor industry is basically in good shape in the UK. Sales have fallen off a cliff and will be low for 2009, but they are businesses worth saving for the future. The motor industry in the UK of the 1970's was a basket case.

[Scabbydog 10]

Of course its not out of the goodness of their own hearts but its hardly the most intelligent spend when your business is struggling.

 

Having said that, a lot of the motor industry is basically in good shape in the UK. Sales have fallen off a cliff and will be low for 2009, but they are businesses worth saving for the future. The motor industry in the UK of the 1970's was a basket case.

 

But who gets to decide which businesses are worth saving? Do you put public cash into Jaguar but let a small Sheffield engineering company go under, or do you prop up the lot?

Let's not forget that the small Sheffield Engineering company will be required to pay taxes to prop up Jaguar, even if the small company is allowed to fold.

[venger 10]

But who gets to decide which businesses are worth saving? Do you put public cash into Jaguar but let a small Sheffield engineering company go under, or do you prop up the lot?

Let's not forget that the small Sheffield Engineering company will be required to pay taxes to prop up Jaguar, even if the small company is allowed to fold.

 

It is not public cash !!!!