Six considering investing in LDV

Suppliers met on Tuesday morning in the city

Administrators for Birmingham van maker LDV have said at least six organisations are still considering whether to invest in the company.

An announcement was likely at the end of July over the firm's future and what suppliers would receive, administrators PricewaterhouseCoopers said.

Two hundred and thirty supply companies have been waiting to see how much of £20m they are owed would be given back.

A breakfast meeting on Tuesday was attended by dozens of suppliers.

'Waiting game'

Administrators gave an update on the van maker's financial position at the gathering at Birmingham Chamber of Industry and Commerce.

LDV went into administration earlier in June with the loss of more than 800 jobs at its Washwood Heath plant.

Accelerate, a task force representing the automotive industry in the Midlands, said many suppliers have been "owed thousands of pounds".

Rachel Eade, from Accelerate, said: "It's a waiting game, but life out there for the automotive sector is tough.

"Not only are they having to deal with LDV in administration, but many of their other customers, their peers and some of their suppliers are also in administration.

"So in terms of cash flow and income and long-term secure business, many of them have been hit very, very hard."

One manufacturing firm, Birmingham Prototypes Ltd, has been waiting for about £6,000 worth of bills to be paid and another £4,000 of stock to be returned.

Director Mick Adams said: "All the suppliers throughout the Midlands who I know have all lost people.

"Fortunately we've only lost one at the moment, but obviously because of the current climate everything's a little bit of a struggle."