Chinese state-owned car giant Shanghai Automotive Industry Corporation (SAIC) has told the British government it will not acquire ailing British carmaker MG Rover, it was confirmed Friday. Administrators Pricewaterhouse Coopers, who were called in to salvage the stricken firm a week ago, said there was now "no realistic prospect of obtaining enough finance to retain the workforce." Significant redundancies would now be made at MG Rover's main Longbridge plant in Birmingham, in the British Midlands. The British Labour government provided 6.5 million pounds (12 million dollars) to ensure payment of the wages of Rover's 6,100 workers for this week. A statement by the government was expected Friday. The final collapse of Rover, Britain's last independent volume carmaker, would be a blow to the Labour government only three weeks before the general election called for May 5.
