Government surprises MAS with additional £7m funding

THE Government has surprised manufacturers by committing a further £7m of financing to leading support body the Manufacturing Advisory Service and announcing its new role will begin three months earlier than scheduled.

The news came as the Department for Business Innovation and Skills announced its multi-million plans for its first new Technology and Innovation Centre .

MAS, which is particularly prominent in the West Midlands, was caught unaware by the announcement and is still awaiting confirmation of how the money will be allocated.

What is confirmed is that the money is on top of the £50m the Government has already pledged to the organisation for the next three years to enable it to continue its support role once regional development agencies cease to exist next year.

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A source close to MAS said: “It’s definitely a surprise. We were unaware that any announcement was coming and so now we are waiting to see how the money will be allocated – whether centrally or at the local level.”

In its statement, BIS said the money would be used specifically to develop the supply chain sector, with a focus on low carbon vehicles, the nuclear sector and off-shore wind energy solutions.

The department has also said that the newly configured MAS organisation will begin operating three months earlier than planned. It will no longer have to wait until the formal cessation of RDAs on March 31, 2012 but will come into existence on January 1 next year.

“The new service builds on the current expert support and will aid manufacturing growth by enabling increased productivity and innovation,” said the statement.