yes the goverment should bail them out,its the last british car manufacture left,and if the goverment and the motoring journalists got behind them i am sure it would be a very profitable business,but the likes of the jeremy clarksons of britain have destroyed the rover/mg brand
Yes! The company has survived longer than many 'experts' suggested 5 years ago. The products are good. The 75 and ZT models acquitted themselves extremely well in a recent Auto Express survey. The knock-on effect would be horrendous for the UK economy if the company was allowed to die.
Firstly the government should absolutely save MG Rover as it so very close to the deal with SAIC for the joint venture to produce MG Rover cars in the UK and China. This deal will safeguard thousands of UK jobs. Secondly I am appalled at the twaddle being spouted by ill-informed people (e.g. it was owned by Honda - completely untrue) and by the UK press which has absolutely savaged the company and destroyed consumer confidence in the company just for the sake of selling more newspapers. I wonder how many of the people responding on this website actually drive a recent model MG Rover product? I chose an MG ZT as a company car last year and it is a superb vehicle. What on earth is wrong with us in the UK when we are so willing to destroy our own manufacturing base and take delight in ripping into a private company that is trying its best to succeed.
In the swing of things the £100 million offer by the government amounts to peanuts. If MGR go bust the government would be forced to make jobseekers allowance payments etc (plus other benefits) which effectively negates the £100m offer. If other factors are taken in account e.g. lost tax revenues from MGR and parts manufacturers, and general damage to the midlands and UK economy, it may actually work out less costly to the government (and taxpayer) if the loan is made(which is repayable anyway, the only way the government can lose is by giving the loan and MGR subsequently go bust).
It astonishes me that nobody has thought about this. Giving the loan makes perfect sense. It would actually work out cheaper to the government in the long run. The only way the taxpayer can lose out is by giving the loan and MGR not paying it back and subsequently going bust.