Mandelson looks to speed up help for car finance

Lord Mandelson says he wishes talks to boost the car finance sector had ‘gone quicker’, the BBC reports.The Business Secretary told the BBC that the Bank of England and the Treasury were ‘doing their best’ but it is a ‘very complex area.’Pressure has been growing on the government to assist finance arms of the motor manufacturers to help them provide cost-effective loans to car-buyers. As car sales have continued to fall, the government has attracted criticism for failing to act.However so far, Lord Mandelson has announced a package of government support for the car industry - including a scheme to unlock £1.3bn of European loans - and a government pledge to guarantee up to £1bn of further loans.Additionally, in a BBC interview Mandelson said he was ‘looking at’ the possibility of introducing a scrappage scheme to boost car sales."The discussions are nonetheless making progress and I hope that it will be possible to help those car financing arms because that goes hand in hand with our other efforts to boost this market and give a shot in the arm for the demand for cars, " he told BBC political correspondent Gary O'Donoghue.

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