TOYOTA has revealed that it will use millions of pounds of Government cash so its Burnaston site can research and develop new cars.
At present, the Japanese firm's Derbyshire plant makes Auris and Avensis cars.
But the company is now planning to give Burnaston a research and development capability, which could create a number of hi-tech jobs.
In Europe, the majority of the firm's research and development is in Brussels.
But thanks to a £6.3 million grant from the Regional Development Fund, Toyota is planning to transfer some of this work to Burnaston.
Toyota pledged to match the funding "multiple" times to create the unit, which will develop new cars and work on prototype models.
Yesterday, Deputy Prime Minister Nick Clegg visited the plant to confirm the Government's cash contribution.
He was given a tour by deputy managing director Tony Walker, before taking part in a question and answer session with 100 staff.
Mr Walker said: "We want to bring a research and design capability to Burnaston. This will mean that we not only make the cars but that we also play a part in developing them before production."
Toyota said the Government cash will safeguard the jobs of 3,800 staff at the plant and an engine-making factory in North Wales. New positions could be created in research and development.
Mr Walker said: "Although it is difficult to say how many, this money should help bring high-quality, high-tech jobs to Burnaston. We are very grateful to this support from the UK Government, which can be very influential to Toyota's decision-makers in Japan."
Mr Clegg said that he hoped that the Government's investment in Toyota would ensure that the car manufacturer remained in Derbyshire for many years to come.
He said: "The Toyota factory is a great example of good old-fashioned manufacturing, for which Derby is famous, being put to contemporary use. I want to see more of that."
Mr Clegg also visited Rolls-Royce in the city, where he toured the firm's operations, including its £6 million Apprentice Academy.
AURIS SALES INCREASE BY 39%AS well as the Government's cash windfall, staff at Toyota's Burnaston plant had another reason to celebrate this week following the release of the car manufacturer's latest European sales figures.
Toyota makes two models at Burnaston – the Auris and the Avensis – and 85% of vehicles produced in Derbyshire are exported to mainland Europe.
According to the firm's sales figures for the first half of this year, 62,256 Auris cars were sold, which is 39.2% up on the same period last year.
The sales performance was driven primarily by the launch of an all-new model Auris, which Burnaston started making towards the end of last year.
Toyota's hybrid version of the Auris is proving particularly popular.
Powered by a combination of petrol and electricity, Toyota increased sales of the more economical version of the Auris by 61.4% since the start of the year, selling 22,494.
Toyota is hoping to continue that momentum with an estate version of the Auris, called the Auris Touring Sports, which went on sale at the start of this month.
Daniele Schillaci, Toyota Motor Europe's senior vice-president for sales and marketing, said: "The performance of our Auris and Auris Hybrid is particularly encouraging, with sales increasing by around 40% every quarter, while the market remained flat.
"With the launch of the Toyota Auris Touring Sports, Auris Hybrid Touring Sports and the world's best-selling car, the Toyota Corolla, we expect a strong finish to the year."
