Toyota plan to expand in the UK

The British Government today welcomed an announcement by car giant Toyota that it planned to build a full hybrid version of one of its models at its UK factory.

The firm said production of its hybrid version of its Auris hatchback will start at the plant in Burnaston, Derby, with engines produced at the company’s site at Deeside, North Wales.

Toyota’s European chief executive, Tadashi Arashima, said: “With today’s announcement, Toyota has taken a significant step forward in ensuring that full hybrids become more accessible to a wider range of customers. Such efforts are crucial if we are to see more low-carbon vehicles on European roads.

“Our decision to produce a full hybrid in the UK reflects both our confidence in the quality and commitment of the Toyota UK workforce and the strength of our long-standing partnership with the UK Government. Today’s announcement is positive for Toyota, our UK suppliers and the local communities here.”

Business Secretary Peter Mandelson, who is visiting the Burnaston plant today, said: “This is a welcome and forward-looking investment in Britain from a world class manufacturer. As part of our low carbon industrial strategy we set out to make Britain the best place in the world to develop low carbon vehicles.

“These commitments, backed by the formidable skills of the UK automotive workers enable companies like Toyota to invest with confidence in low carbon car production in the UK. It demonstrates that the UK’s car industry is already making the low carbon transition.”

Mr Mandelson will later meet steelworkers in Rotherham when he visits a Corus plant. The company has announced over 5,000 redundancies this year, which unions said threatened to “devastate” steel communities across the UK.

Rotherham has been hardest-hit with a total of 1,540 job cuts announced so far.

Roy Rickhuss, national officer of Community, said ahead of the meeting: “The steel industry in Britain has taken hit after hit this year – falling demand, high energy prices and round after round of job cuts.

“The time for action is now before these temporary cuts trigger long term damage to the industry and real pain for steelworkers and their families.

“Loss of steel production would cripple the British manufacturing sector. Lord Mandelson must do all in his power to support the workers and their communities to ensure that steelmaking has a future.”