Pictured above: Ian Austin (Minister for the West Midlands)
with Bugatti brake calliper assembly, cast in the West
Midlands
A £3.5m support package to help automotive suppliers in
the region get through the economic downturn was launched this week
by West Midlands Taskforce Chair and Regional Minister, Ian Austin,
following Friday's Taskforce meeting.
The funding, which will come from Advantage West Midlands and
the European Regional Development Fund, is designed to provide
struggling component part makers with up to £50,000 of
specialist strategic consultancy to help with business
consolidation, refinancing , new product introduction and
restructuring.
The Automotive Recovery programme will be delivered by the
Manufacturing Advisory Service in partnership with Accelerate and
will look to assist more than 120 companies, ranging from SMEs to
tier 1s and even local car producers.
It is anticipated that this dedicated support will safeguard up
to 1000 jobs in the supply chain.
Ian Austin, West Midlands Taskforce Chair and Regional Minister,
said: "This funding package is a direct response to the
current problems facing the automotive industry and highlights the
Taskforce and Advantage West Midlands' commitment to helping this
vital part of the region's industrial sector weather the
recessionary storm.
"With this tailored support immediately available, I urge
companies to come forward and to start benefitting from the
expertise and knowledge available."
Colin Tivey, Chairman of MAS-WM and former Vehicle Line Director
at Land Rover, picked up the story:
"I'm delighted to announce this crucial support for the region's
car industry, support that is focused on securing the future of the
auto sector so that it is in a strong position to pick up work when
the upturn arrives.
"Grants ranging from £10,000 to £50,000 are
immediately available for firms that have been hit by the recession
and they can use the money to bring in quality approved
manufacturing and business consultants to help work with them on
strategic issues that will move them forward."
He continued: "A lot of these businesses are world class,
added value operations, employing highly skilled people. They have
been hit by a global decline in sales way out of their control and
they deserve all the support we can provide."
Companies interested in applying for the strategic assistance
should ring MAS-WM on 0845 245 0845 or visit www.mas-wm.org.
Twelve experienced advisers will be on hand to take requests for
support and an initial meeting will take place where a capability
review will be completed against a proven industry benchmarking
tool.
This will identify key areas of concern and opportunity and the
most suitable consultant will then be brought in to work with the
company on addressing these issues.
Mick Laverty, Chief Executive at Advantage West Midlands,
said; "What we have tried to do with this funding is generate
a programme that delivers strategic support exactly where it is
needed and support that will produce immediate and long term
benefits to productivity and the bottom line.
"The supply chain currently accounts for more than 1,500
companies, 110,000 jobs and annual turnover in excess of
£10bn, so it is in everyone's interest that these companies
are supported."
Colin Tivey continued: "The first step is to make sure
suppliers withstand the current economic downturn and are still
around when car volumes pick up again. The second is to make
sure that we create businesses that are in a better position than
ever before to really drive the future of the automotive sector -
if we achieve this we have done our job."
He went on to add: "Some areas we are looking to help in include
restructuring, collaborations/joint ventures, product or market
diversification, exporting and repatriation of offshore work. We
will also look to assist with re-financing.
"It is also home to some of the UK's most progressive R&D
facilities and remains an integral driver in the progression
towards a low carbon environment and 'greener' cars.
Rachel Eade, Operations Manager for supply chain initiative
Accelerate, added her support: "This is great news for our
supply base and could well prove the difference between a number of
firms surviving or not.
"Let's get one thing straight. This is not about a free
hand-out; this is a proven way of helping great local businesses
survive through unprecedented difficulties and, importantly, to do
so with one eye on the future where they can repay these grants by
taking more people on and adding wealth to the economy."
For further information please contact 0845 245 0845 or visit www.mas-wm.org