Business Secretary Lord Mandelson says the workforce at the Jaguar Land Rover (JLR) plant at Halewood was “one of the most productive in Europe”.

He welcomed news that the company is to build the Range Rover LRX low-carbon model at the factory.

He said: “Today's announcement of Jaguar Land Rover's business plan shows how focused it is on the future of the industry and the opportunities available as we move to a low carbon future.

“I welcome the commitment that Tata is showing in the highly-skilled workforce employed by JLR in the West Midlands and Merseyside as well as the top-class models it produces.

“Confirmation that the LRX is to be built at Halewood will help to end the uncertainty at the plant with the added prospect of some new jobs in the pipeline.

“It’s a testament to the workforce who have made the plant one of the most productive in Europe.”

Earlier this year the government announced a £27m cash injection fro Jaguar Land Rover so the company could develop new green technologies.

Mr Mandelson added: “There are opportunities and that’s why we must continue to innovate and lead the way.”