UK should support viable suppliers in distress amid COVID pandemic, McLaren says

Automotive Industry

Source: Automotive News Europe, 2020-09-24

Britain should prevent viable suppliers in trouble because of the coronavirus pandemic from going bankrupt, McLaren Automotive CEO Mike Flewitt said.

McLaren Automotive, part of the McLaren Group best known for its Formula One team, is expecting a significant drop in sales this year.

"If one of our suppliers got into distress because of a short-term drop of demand, but they otherwise had a viable business, I would hope the government would either support directly, or support through third-party lenders, to ensure that the company did not go out of business," Flewitt said.

Flewitt's comments came as the British government prepares to detail more measures to support the economy.

Finance minister Rishi Sunak is due to set out how he will try to avoid mass job losses and back businesses as additional lockdown measures come into force.

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