On the issue of the firm's short-term future, Lord Mandelson said: "Jaguar Land Rover know that, were they to reach the point where they needed government assistance, they could say so and we will be there. That point has not been reached.

"I hope that as many workers at Jaguar and Vauxhall will be in the same jobs in future years as they are now. But, of course, the car industry is going to undergo a lot of change – not just change of owners, but consolidation.

"My job is to do whatever the Government can financially, politically and humanely, to maintain that production and those jobs in those plants across the country."

On Vauxhall, Lord Mandelson revealed he was in "day-to-day" contact, not only with Magna, but also with "alternative bidders" – thought to include Belgian company RHJ International and China's Beijing Automotive Industry Corp.

On the future for the 5,000 staff at its Ellesmere Port and Luton plants, he said: "I feel confident that Vauxhall production will be sustained in Britain, whoever finally takes over the ownership of the company."