Clydesdale and Yorkshire Banks have created a specialist automotive team to support businesses in the manufacturing supply chain.
The team has been set up to support all areas of business but with particular attention to those which require tooling finance.
Typically manufacturers invest between £30,000 and £1m for each new piece of tooling, but rarely see the ROI until on average 18 months later. Clydesdale and Yorkshire Banks are providing rolling tool finance, which allows firms to access funding as and when they require new tools.
The new team is led by the Banks’ head of manufacturing, Kevin Rimmer and automotive director Heather Griffin.
Rimmer said: “The UK’s car manufacturing industry is growing in confidence and productivity to meet the consumer demand for more innovative and energy efficient vehicles.
“This growth is being fuelled by £7bn worth of investment in production facilities announced over the last two years. As a result of investment in new models, machinery and plant, the entire supply chain is set to benefit and invest in the market with further growth expected in 2015.
“The Automotive Council estimates the value of opportunity for tier two and three suppliers to be in the region of £2bn. This is in addition to the £3bn worth of opportunity for tier one suppliers. In order to meet that level of demand, the supply chain will be investing in tooling and also new people equipment and premises.
“We are delighted to play our part in supporting the growth of the automotive manufacturing sector by providing a flexible and specialist approach.”
