As economic forecasters predict the UK will officially exit recession this week, the motor industry in the city of Coventry has been dealt a series of major blows in the past few days including the cancellation of a new project, a manufacturer going out of business and a leading accessories producer calling in the administrators.
The bad news for employment prospects in the Coventry motor sector began with Manganese Bronze, the owners of LTI, the London taxi cab producers, calling in the administrators. They said the group was no longer a going concern with a spokesman issuing the following statement: “The board remains hopeful the fundamental strengths of the company, the TX4 model and its global reputation will provide the platform for a successful business in the future.”
It is anticipated Chinese competitors will snap up the company’s assets cheaply and move production elsewhere. To compound the bad news, Healey Sports Cars Switzerland appears to have changed their mind about building a new version of the iconic Jensen sports car in the city. Earlier this year the council backed plans for development of the old Jaguar factory in Brown Lane for the Jensen project but although the Swiss company refused to comment this week it now looks as though the new car will be built elsewhere.
The old proverb about bad news coming in threes was brought about by the announcement that another local company, Evida Power, has gone out of business. It appears that the makers of lithium batteries for electric cars have also gone to the wall and liquidators, Begbies Traynor, have been called in. As motor insurance providers will confirm, the UK motorist has just not connected with the new zero emission cars and it appears that Evida Power are casualties of this lack of interest.