Vauxhall Motors (UK)

Vauxhall Motors is the UK division of global car giant General Motors, although it is strictly speaking a direct subsidiary of Opel, GM's Europe-wide operation. Together with its arch-rival, the long-established market leader Ford, it dominates the UK car market with a considerable lead over third-ranked Volkswagen. After many years as a safe, even dull, middle-market manufacturer Vauxhall began to outperform in the late 1990s with strong financial results and an enhanced product range. But by 2001 the company was once again feeling the squeeze from a general contraction of the industry, and it shut down its historic Luton factory to boost long-term efficiency. In 2006, further jobs were cut in the UK, putting the future of Vauxhall's local manufacturing in jeopardy. However the biggest threat to Vauxhall's long-term future has been the financial crisis which enveloped parent GM during 2008. With GM teetering on the brink of bankruptcy, a deal was agreed in Spring 2009 to transfer control of Opel and Vauxhall to a consortium of Canadian and Russian owners. As negotiations dragged on over the following months however, GM grew increasingly reluctant to sign off on that arrangement. The sale was eventually aborted in November, and Vauxhall is now expected to remain under GM ownership.

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