Jaguar Land Rover and Nissan have been given a boost by the European Investment Bank after being handed £720m in loans.
The Tata group-owned company, Jaguar Land Rover, has been handed £340m from the development bank to help fund investment into research and technology. The bail out could save over 14,000 jobs in the UK.
Nissan’s Sunderland plant and its sister plant in Spain have been awarded £380m to produce more fuel efficient engines.
“Nissan joins the other manufacturers in applauding the move by the EIB to extend support to the automotive industry through this crisis,” the company said in a statement.
The deal was announced following a meeting of the EIB’s board in Luxembourg.
It comes as the car industry continues to struggle due to falling sales in the midst of the global economic downturn.
General Motors-owned Vauxhall is another car maker lining up to seek funding from the EIB.
On Monday (April 6), the Society of Motor Manufacturers and Traders reported that new car registrations fell by 30.5% in March, to 313,912 units.