Loan saves thousands of Airbus jobs
Airbus was lent £340 million by the government today, a deal that should secure 5,000 jobs but which is thought to be half the amount that the plane manufacturer had wanted.
The investment was unveiled by Business Secretary Lord Mandelson and welcomed by unions, who said it will secure jobs at Airbus plants in Filton and Broughton, North Wales.
Bernie Hamilton, Unite national officer for aerospace and shipbuilding, said: "This investment is a vote of confidence for UK manufacturing and a ringing endorsement of the government's aerospace strategy. It is a really important day for Airbus and the workforce, but also for Britain's longer-term manufacturing future."
Airbus chief executive Tom Enders also welcomed the move to invest in
the A350 XWB, which is an extra wide-bodied model.
Of the jobs being secured, 1,200 are direct Airbus positions, while the remaining 3,800 are across the supply chain, the Department for Business, Innovation and Skills said.
The money comes on top of the £60m loaned to engineering firm GKN to design parts of the A350 in 2008.
Ian Godden, chief executive of the Society of British Aerospace Companies, said: "The Airbus A350 XWB is an extremely important programme for the future of the UK aerospace industry."
The loan, described as a repayable launch investment, comes after France and Germany promised to invest 1.4bn (�1.2bn) and 1.1bn respectively in the A350 project.
