MP has hope for Leamington firm despite administrators being called in

Warwick and Leamington MP Chris White.
Warwick and Leamington MP Chris White.

A future could still exist for a Leamington firm which employs more than 100 people despite its parent company going into administration.

Tachbrook Road-based brake manufacturer Caparo Vehicle Technologies faces uncertainty after Pricewaterhouse Coopers (PwC) took over the running of 16 units within the Caparo Industries Plc industrial group - which has 1,700 mainly Midlands-based employees including 140 in Leamington - on Monday.

But, having spoken to Matthew Hammond, lead administrator and partner at PwC, Warwick and Leamington MP Chris White is hopeful a buyer can be found and that the jobs in Leamington can be saved.

He said: “My number one priority is to make sure the workers’ jobs are secure but I know that there has been a number of offers from interested parties.

“Matthew said he was amazed at the interest which has been shown from all parts of the UK and I know the Leamington site has had a number of approaches from key suppliers and customers.

“I’m confident that all is being done and all options are being looked at.”

The Leamington firm is a descendent of Lockheed Hydraulic Brake Co, which became AP in the 1930s and was a major employer in the town.

Mr Hammond said: “This is a significant business with a wide range of interests across steel, engineering, vehicles products and technologies. Its scale and reach into significant customers and its importance to suppliers cannot be understated. We will be rapidly assessing all options for the businesses through this week and beyond.”

The union Unite has been among those to blame cheap steel from abroad for a ‘domino effect’ in the UK steel industry, which has put Caparo in jeopardy and led to the closure of other firms. The union has called for the Government to step in to support a ‘key component’ of the economy.