Jobs at risk as LDV applies for administration
Stricken vanmaker LDV will apply for administration today following the collapse of a rescue deal, putting thousands of jobs at risk of being axed in the coming days.
The Birmingham-based firm, owned by Russian giant GAZ, will apply to a court for administrators to be appointed.
The firm, which employs 850 workers, could have its assets sold quickly, finally ending any hopes of saving the business.
Thousands more workers are employed in firms which distribute LDV vans or supply parts and other services, dealing a fresh blow to the motor manufacturing industry.
LDV managers issued a final appeal to the Government on Friday to help save the company, warning that around 4,000 jobs were at risk after a rescue deal by Malaysian firm Weststar collapsed.
Managers argued that a loan of £60 million would help refinance the firm and help turn it into a profitable business, but a delegation by workers to Westminster to press home the case had to be called off because the Cabinet reshuffle meant no ministers were available to meet them.
The Government was warned that the cost of closure to the Treasury will be up to £53 million in unemployment benefits and lost taxes in the first year, while the economy will lose over £200 million of wages, purchases and export revenue.
LDV has not built any vans since mid-December after a slump in demand.
- 1 Forget 'The Dress': Here are five of the biggest news stories you might have missed
- 2 The black and blue dress: Makers considering a white and gold version
- 3 PornHub turns masturbation into energy in bid to save the planet
- 4 The remarkable archaeological underwater discovery that could open up a new chapter in the study of European and British prehistory
- 5 Saudi Muslim cleric claims the Earth is 'stationary' and the sun rotates around it
British are sexually uptight, dirty and drink too much – according to Spanish book
PornHub turns masturbation into energy in bid to save the planet
Ukraine crisis: Top Chinese diplomat backs Putin and says West should 'abandon zero-sum mentality'
White and gold or blue and black – what colour is the dress? An eyewitness gives a definitive answer
Saudi Muslim cleric claims the Earth is 'stationary' and the sun rotates around it
New theory could prove how life began and disprove God
This is what it's like to be dead, according to a guy who died for a bit
'Cash for access' scandal: Sir Malcolm Rifkind says 'unrealistic' for MPs to live on £67,000 salary
'Jihadi John': CAGE representative storms off Sky News accusing Kay Burley of Islamophobia
Ukip would cut billions from Scottish budget to fund English tax cuts
Russia's roadmap for annexing eastern Ukraine 'leaked from Vladimir Putin's office'
iJobs Money & Business
£40000 - £50000 per annum + pro rata: SThree: SThree Group have been well esta...
£30000 - £37000 per annum: Recruitment Genius: Established in 1999, a highly r...
£250-£300 Day Rate: Jemma Gent: Are you a qualified accountant with strong exp...
£230 - £260 Day Rate: Jemma Gent: Do you want to stamp your footprint in histo...