London, Sep 19 (Inditop.com) After a five-month delay, the British government has announced a 10 million pound loan to Tata Motors to support the production of electric cars in Britain.
The loan, sanctioned way back in April, has been awarded under the automotive assistance programme to help the company manufacture the Tata Indica Vista four-seat electric car.
Tata, which was reportedly ready to pull out of the British venture because of the delay, will now put in 25 million pounds.
“The government is determined to help the car industry to exploit fully the opportunities offered by green manufacturing. Today we are backing Tata as Tata backs Britain,” British Business Secretary Peter Mandelson said Friday.
“This loan will strengthen our electric vehicle manufacturing expertise, securing and creating high value engineering jobs in the West Midlands. Tata will continue to invest in R&D in the next generation of sustainable transport, helping it become a lead player in this exciting and important technological area.”
The Indica Vista was launched in India last year and will go into production by the end of the year. It has a top speed of 104 km per hour.
In a statement, Tata Motors said: “Tata appreciates the 10 million pound loan, under the UK government’s automotive assistance programme to develop and manufacture the Tata Indica Vista Electric Vehicle in the UK with an investment of 25 million pounds.”
