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Bathgate: still no decision

14th April 1984, Page 5
14th April 1984
Page 5
Page 5, 14th April 1984 — Bathgate: still no decision
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GOVERNMENT Ministers have put off a decision about the future of Leyland Trucks' troubled Bathgate plan.

They have decided to delay a decision on whether or not to approve its closure until later in the summer.

The proposal to close the plant is understood to be contained in BL's corporate plan, but it now seems certain that the Government's response will be made piecemeal, with the privatisation of the Jaguar luxury car company heading the list.

Scottish Secretary George Younger is thought to have persuaded his colleagues to give Bathgate a final breathing space in an attempt to find a private buyer.

But it is accepted by Ministers that if that proves unsuccessful the chances of Bathgate's survival are very slim.

They believe that Leyland's policy of providing its own lorry engines "in-house" is the most expensive option available. However, they would be very unhappy to see any contract to provide engines farmed out overseas at the expense of Bathgate.

Bathgate builds 98-Series engines for the lightest vehicles in Leyland's range, as well as meeting much diminished demand for Landmaster and Landtrain export lorries.

It was to have built Cummins B-Series (formerly Family One) engines, the replacement for the 98-Series, in a joint venture, but that plan looks very dead now. There are fears that the engines will be imported complete.

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