Jaguar given £175m from Indian bank

Car manufacturer Jaguar Land Rover has announced that it has been given a loan of £175 million by the State Bank of India.

The firm, which employs 14,500 workers in the United Kingdom, said "significant progress" has been made to enhance its funding.

Some £500 million of funding has been gained this year, including other loans from Standard Chartered Bank, Bank of Ireland subsidiary Burdale Financial Limited, and the Bank of Baroda.

Chief financial officer Kenneth Gregor said: "We are pleased our funding plans are progressing and appreciate the confidence shown by our banking partners in our business."

Despite this funding, last month the firm announced it is to close one of its West Midlands plants. The car giant said it will decide next year whether to close its factory at Castle Bromwich, which makes Jaguars, or the site at Solihull, which makes Range Rovers.

In changes outlined to workers, the company said there will be no compulsory redundancies, adding that up to 800 new jobs are to be created at Halewood in Merseyside because of a decision to build a new Range Rover. The firm, owned by Indian giant Tata, employs around 5,000 workers in Solihull, 2,000 in Castle Bromwich and 1,800 at Halewood.

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