Nissan: Sunderland — House of Commons, 2016-10-31
Topic: Mixed Topics
Gregory David Clark (Conservative, Centre-right): With permission, Mr Speaker, I wish to make a statement about Nissan in Sunderland. Last Thursday, 27 October, the Nissan Motor Company Ltd announced that, following a meeting of its executive committee, both the next Qashqai and X-Trail models will be produced at its Sunderland plant. The plant will be expanded through new investment to be a super-plant, manufacturing more than 600,000 cars a year. Some 80% of the plant’s output is exported to more than 130 international markets The decision is a massive win for the 7,000 direct employees and 35,000 total British employees in the plant and the supply chain. It is a stunning tribute to the local workforce, which has made the Sunderland plant, in the words of the chief executive of Nissan, "a globally competitive powerhouse". We are immensely proud of it and proud of them. Of course, the decision is great news for the people of the north-east more widely, for our world-class automotive sector and for the whole British economy. This is but the latest in a series of exciting investments in the United Kingdom, which is proving to the world that we are open for business. Indeed, it is hard to think of more unambiguously good news My colleagues in the Government and I have been vigorous in ensuring that the Nissan board had no doubts about the importance of this plant and this industry to the British people. Through the many conversations I and my colleagues had both here and in Japan, it became clear that four reassurances were important to securing the investment for Britain. Three were about the automotive sector generally and one was about Brexit The first was that we would continue our successful and long-standing programme of support for the competitiveness of the automotive sector, including Nissan. This support is available to firms for skills and training the local workforce, research and development, and innovation, in line with EU and UK Government rules. Since 2010, the Government have invested £400 million in the UK automotive sector in this way. We will continue to invest hundreds of millions more over the coming years. All proposals from any company must be underpinned by strong business cases and tested against published eligibility criteria. All proposals are also subject to rigorous external scrutiny by the independent Industrial Development Advisory Board and are reported on to Parliament The second was that we would continue our work with the automotive sector, including Nissan at Sunderland, to ensure that more of the supply chain can locate in the UK and in close proximity to major manufacturing sites. In a previous post, I established the local growth deals and city deals, which, working with local enterprise partnerships, have provided a way in which local councils, businesses and the Government can upgrade sites, especially those brought into use from dereliction, and provide the infrastructure for the small and medium-sized businesses that can supply these major companies. I can confirm that this programme will continue, and with vigour The third that was we would maintain a strong commitment to research and development, in particular the take-up of ultra-low emission vehicles. The opportunities presented by bringing the Department of Energy and Climate Change together with the Business Department make us ideally placed to build on Britain’s strengths in low-carbon energy, the automotive sector, science, research and many other areas The fourth was that in our negotiations to leave the EU, we will emphasise the very strong common ground, especially in the automotive sector, that exists between ourselves and other EU member states in ensuring that trade between us can be free and unencumbered by impediments. A good deal for the UK can also be a good deal for other member states, and that is how we will approach the negotiations. Whatever the outcome, we are determined to ensure that the UK continues to be one of the most competitive locations in the world for automotive and other advanced manufacturing Last Thursday was a great day for Sunderland and for Britain, but the best is yet to come. Over 30 years, Nissan has invested more than £3.7 billion in our country and has created excellent jobs for a whole generation of world-beating British workers. Last week’s announcement means that a new generation of apprentices, technicians, engineers, managers and many other working men and women can look forward to careers filled with opportunity and success. This Government will always back them to the hilt. I commend this statement and Nissan’s welcome decision to this House.