Written question asked by Jim Cunningham (Labour) on Wednesday, 11 October 2006, in the House of Commons. It was due for an answer on Wednesday, 18 October 2006. It was answered by Baroness Hodge of Barking (Labour) on Monday, 23 October 2006 on behalf of the Department of Trade and Industry.

Peugeot

Question: To ask the Secretary of State for Trade and Industry what (a) Government and (b) EU grants Peugeot has received in the last 15 years; and if he will make a statement.

Answer: [holding answer 18 October 2006]: In 1994, Peugeot received £900,000 for investment in the 306 model, followed by £2 million in 1998 towards the cost of investment to add a third shift at a time of strong demand for its 206 model. In November 2004, a grant of £14.4 million was offered to Peugeot for manufacture of the 207 at Ryton, but the project did not proceed.The Government also offers various forms of technology grant. Peugeot has participated in consortia which have received grants, although it is not believed that the company has received any direct funding.The Government are not aware of Peugeot’s UK activities having received any R&D grants direct from European Union institutions. The Government do not routinely collate data regarding grants received by automotive companies elsewhere in the EU from either the EU itself or other Governments.

Secondary information