Lotus bid for Government cash rejected

[j2 lot]

Pistonheads story:
http://www.pistonheads.com/lotus/defaul ... ryId=23376


Hope they are able to secure funding next time around or car production may go abroad

[CubanGav]

"Lotus' original bid application was for a £27.5 million loan which would have been put to good use in research and development crucially allowing Group Lotus to release capital previously allocated to R&D to build the new production plant therefore creating approximately 1200 additional jobs."

Surely if they had said they would use the money to build the plant rather than R&D it would have had more weight?

Odd way of asking for the cash. It reads like 'we have the cash but dont want to use it - we want to use yours instead'

[foz01]

Its due to R&D money falling under a significantly less onerous tax position iirc, thus askign if they coudl get the same position on other investments

[Edinburgh 111s]

Maybe the UK Government seen through Lotus's/Proton's dodgy business plan, which many people from the industry seems to think will fail?

Who knows, but it would be a shame to see production move outside the uk