Nissan 'will have to submit application' to receive £61m grantpublished at 17:46 Greenwich Mean Time 4 February 2019
Statement on Nissan Sunderland plant
House of Commons
Parliament
Business Secretary Greg Clark says in 2016 Nissan were awarded £61m over nine years as an investment for training, environmental improvements, and research and development.
Mr Clark says Nissan announced that the X-Trail would be built in Sunderland as well as Japan in October 2016, but that yesterday they said the new model will instead be made in Japan.
He adds that the decision will have "no implications for existing jobs at the plant", but that the additional 741 jobs proposed alongside the decision to manufacture the new car model in Sunderland "will not take place".
Mr Clark says in 2016 Nissan said the "risk of a no-deal Brexit is a source of damaging uncertainty".
He adds that the UK £61m grant to Nissan was based on the fact that the new SUV was to be manufactured in Sunderland.
"If the company wishes to compete in these industry funding schemes, as I hope and expect it will, it will have to submit an application and undergo an independent assessment," Mr Clark says.
He concludes that Nissan's decision was made on "broader business grounds", but that Nissan commented "on the need for us to come together and to resolve the question of how to continue trading with the EU".