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What the papers say: December 16

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What the papers say: December 16
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What Car? Staff
16 Dec 2008 11:17

What car-related news is making the national press today? Find out here with our daily review.

Efficiency drive hits reverse
Motorists may feel a little uneasy this morning - the Daily Mail reports that the Department for Transport's recent cost-cutting measures have managed to cost tax payers 80 million. The bill came about after a programme to save 57 million grew to cost 121 million. Cost-saving measures included combining the Driver and Vehicle Licensing Agency with the Coastguard on one computer system which is reported to have sent messages and alerts in German.
Daily Mail

No cones zone M1 is cleared
The Daily Mail reports that after three years of misery, the roadworks covering five key junctions of the M1 will be cleared from the road tomorrow. The paper looks back at the pain inflicted on motorists during the past three years, statistics saying that the roadworks cost 473 an inch, 840 million cups of tea were supped by the workforce, and 35,297 motorists were snapped by speed cameras in the roadworks.
Daily Mail

Inchcape scraps dividend
Car dealer Inchcape is scrapping this year's final dividend after warning that profits in 2009 will be 'significantly' lower than expected, according to the Daily Mail. Falling sales have been blamed on customers delaying their purchases as the economy grinds to a halt.
Daily Mail

France backs Peugeot and Renault
France yesterday became the first country to provide financial guarantees to the financial arms of its biggest car producers, according to the Financial Times. Peugeot and Renault have both been handed a payment of 779 million to be split between them.
Financial Times

VW union takes the driving seat at Porsche
Volkswagen's union leader was yesterday elected as head of the works council at Porsche, according to the Guardian. The move follows months of wrangling over how much control the VW workforce should have over Porsche, which is also the company's business suitor. The move further complicates Porsche's efforts to acquire VW.
The Guardian

Russia to join oil cartel OPEC in production cut
Russia is to join forces with OPEC in a co-ordinated cut in the production of oil. The move is intended to reduce supply and increase the price of crude oil, which could then result in higher prices at petrol pumps. The Daily Telegraph reports that, unless the cuts are made, the price of oil could drop below $25. The move could, however, see Russia being thrown out of the G8 group of countries.
The Daily Telegraph

Car crisis could kill the digital radio star
The Daily Telegraph says that digital radio could become a victim of the global car crisis. With manufacturers facing meltdown, the paper ponders that the last thing the companies will want to do is increase costs by committing to the installation of DAB radios in their vehicles. The digital broadcasting industry is already in crisis, and the introduction of costly digital radios to the nation's cars could have been its last hope of survival.
The Daily Telegraph