Questions have been raised over the Welsh Government’s handling of a much heralded deal to bring TVR to Wales.
Official accounts lodged with Companies House indicate a headcount of just six jobs at TVR Manufacturing Ltd, despite a pledge by the firm to create 150 new jobs as a result of Welsh Government support.
The headcount at its ‘parent company’, TVR Automotive Ltd was recorded as ‘0’.
Official company accounts also reveal the extent of Welsh Government financial support for TVR:
- Shareholding of 100,000 shares in TVR Automotive Limited (a company listed as ‘dormant’ on Companies House)
- £2,000,000 in the form of a ‘long term loan’ which is repayable on demand until TVR secures £5.5m in further equity funding – though the company’s accounts suggest that the Welsh Government “has indicated that they have no intention of demanding repayment”
The Welsh Government recently announced the site where TVR plans to manufacture its new car. Its operations will be housed in the former Techboard building under lease from the Welsh Government. The terms of that lease are not publicly known.
Shadow Economy Secretary – Russell George – is calling for assurances from the Welsh Government that taxpayer money is being properly safeguarded.
He said:
“We need to see tangible evidence that this investment represents value for money.
“The prestige of the TVR badge is one thing – and there is understandable excitement around their decision to locate in Wales.
“However, we need to see the jobs that were promised, and as major shareholders in the company the Welsh public will want to see genuine progress.
“Ultimately, commercial common sense dictates that there must be an economic benefit to this spending.
“Millions of pounds have been invested in TVR, and the Welsh Government must ensure that this exciting project doesn’t turn into another disappointment for the people of Blaenau Gwent.”