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Mandelson demands talks over Vauxhall

Source: guardian.co.uk Politics

Nov 04, 2009

Summary

Business secretary calls for urgent talks with General Motors after US carmaker scraps plans to sell Vauxhall

Business secretary Lord Mandelson has demanded urgent talks with General Motors following the US carmaker's decision to scrap its plans to sell Vauxhall.

GM's surprise move last night has delighted UK union leaders but enraged German politicians and unions – who are threatening industrial action tomorrow in protest.

The UK government has already indicated it may be prepared to offer GM financial support to help guarantee the long-term future of Britain's Vauxhall factories.

"I am keen for very early discussions with GM over their plans for the business and how they will affect British plants and workers," said Mandelson this morning. "I have always said that if the right long-term sustainable solution is identified, then the government would be willing to support this."

The German government called on GM to present a restructuring plan for its European arm, which includes Germany's Opel and Britain's Vauxhall brands, as soon as possible. It described the c

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