Business & Enterprise Committee

25 March 2009  (PN 31)


The Business and Enterprise Committee has today announced that it will look at the Government’s support package to the car industry, the Automotive Assistance Programme.

The Committee will take evidence from representatives from the car and car component industries at its meeting on Tuesday 19 May.  Further information relating to that meeting will be provided at a later date.

To inform the Committee and its evidence session, businesses with experiences of the Automotive Assistance Programme are invited to submit comments.  Comments should be e-mailed to no later than Friday 8 May.

The Committee would be interested to hear views on:

• The definition of ‘eligible companies’;

• The application criteria for the types of projects that are covered by the AAP, including the focus on low-carbon projects;

• Whether the £5m threshold excludes too many SMEs?

• The criteria used for awarding loans/ loans guarantees, and how this compares with the criteria used by the EIB;

• The degree to which the award of support through this scheme has prevented, or is likely to prevent, companies from abandoning projects or moving them out of the UK;

• Whether other measures, such as scrappage or support for car finance companies, are required; and

• Any other views stakeholders think the Committee should be aware of.

Further information on this evidence session can be obtained by contacting the Business and Enterprise Committee team on 0207 219 5777 or at


The Department for Business, Enterprise and Regulatory Reform launched the Automotive Assistance Programme on 27 January 2009.

The scheme will be open to projects of over £5m from UK based car and car component manufacturers with an annual turnover of £25m plus and is intended to free up lending of more than £2b over two years to ensure that major UK based low-carbon investment projects are not abandoned or relocated.

Further Information:
Committee membership is as follows:

Chairman: Peter Luff MP (Con) (Mid Worcestershire)
Mr Adrian Bailey (Lab) (West Bromwich West)
Roger Berry (Lab) (Kingswood)
Mr Brian Binley (Con) (Northampton South)
Mr Michael Clapham (Lab) (Barnsley West and Pen.)
Mr Lindsay Hoyle (Lab) (Chorley)
Miss Julie Kirkbride (Con) (Bromsgrove)
Anne Moffat (Lab) (East Lothian)
Mark Oaten (Lib Dem) (Winchester)
Mr Lembit Öpik (Lib Dem) (Montgomeryshire)
Mr Anthony Wright (Lab) (Great Yarmouth)

Media Enquiries: Laura Humble, Tel 0207 219 2003/ 07917 488 489, email: Specific Committee Information: Tel 020 7219 5777, email: