Further investment into the Swindon plant has led to an extra five hundred employees being taken on as car manufacturer Honda looks to increase production.
One hundred and eighty three thousand cars are expected to be produced at the Swindon plant alone this year.
The two hundred and sixty seven million pound investment by Honda represents its largest single investment in the last ten years. This is surely welcome news given that many other car manufacturers are struggling to sell the cars they are producing. For example, Vauxhall's Ellesmere Port factory commented last week that they would be stopping the production of cars for one week later this month. There is a worry with some manufacturers that not taking such actions would lead to a building up of stock that they were unable to shift. However, not all car manufacturers are having such problems. Jaguar Land Rover has also increased production this year as a result of the popularity of some of its newest car models.
Swindon has been described as a cornerstone for Honda. The factory produces parts and engines for cars which are sold all over the world. Despite the factory producing goods which serve the worldwide market, forty percent of the production is sold throughout the UK. For Honda, sales are looking up with increases in UK sales. Business Secretary, Vince Cable, commented on how Honda's "investment supports the government's ambition to encourage new investment and exports as a route to renewed growth and a more balanced economy." This has been particularly resonant after the economic troubles. Some people believe that as a country we should not be putting all our eggs into one basket, that being the financial markets. It is reassuring to see some of the largest car manufacturers investing in the UK.
Nissan is another example of car manufacturing seemingly flourishing in the UK. Its Sunderland plant announced that a new hatchback model would be built there after one hundred and twenty seven million pounds was invested into the plant. Similarly, BMW announced its plans to increase the production of its Minis in the UK following a two hundred and fifty million pound investment.
Managing Director of Honda UK, Mr Hodgetts said: "This investment programme underpins Honda's commitment to manufacturing in Britain and to our UK workforce. The investment and new staff means that the Swindon plant now employs a total of three and half thousand staff.