Nikolai Smolensky, the Russian banker's son who owns sports car maker TVR, is to meet representatives of Blackpool council this week as part of the local authority's attempt to keep production in the town.
TVR announced last month it was closing its plant in Blackpool, which employs 260 people, and would switch production to a smaller site. Last night a Blackpool council spokeswoman confirmed representatives planned to meet Mr Smolensky to "explore ways within which TVR can grow and develop in Blackpool".
TVR has given few clues as to where it plans to relocate, though it is understood a possible site is within the borough council's area. Production at Blackpool has fallen from about 15 cars a week to between six and 10, but TVR has insisted it is keen to expand the business by increasing its presence in mainland Europe and the far east. It has held talks with Nanjing Automotive, the Chinese company which bought the assets of collapsed carmaker MG Rover and which has said it plans to restart car production at Longbridge.
When TVR announced the planned closure of the Blackpool plant, union sources said they had been told the company would maintain a UK presence, but it was not clear if that would include retaining a UK production base.
The question mark over location of TVR production comes at an increasingly difficult time for the UK motor industry. PSA Peugeot-Citroën has said it plans to close its Ryton plant, near Coventry, with the loss of more than 2,000 jobs, and there are increasing fears of job losses at the Vauxhall plant in Ellesmere Port.
Vauxhall's parent, General Motors, is looking at levels of Astra production across Europe. The Astra is made at Bochum in Germany and Antwerp, Belgium, as well as on Merseyside and the company said the third shift at all three plants was under review.
"Astra production has wildly exceeded expectations in its first couple of years and we just don't expect it to continue at that level of market demand as it goes through its product life cycle," a GM spokesman said.
Industry sources suggested the question of any cuts in production in the current Astra model was not connected with the decision about which plants will build the next generation of the car, to be launched in 2010.
