EC warning over Rover aid approval

THE EUROPEAN Commission warned yesterday that it "remains to be convinced" that the Government's pounds 152m aid package for Rover's Longbridge plant is justified.

A statement insisted that the deal was far from done, despite the Government's "ample coverage" two days ago of its formal agreement with BMW. "It should be quite clear that the UK Government must notify the aid to the commission and indeed withhold any payment until the commission has formerly approved the proposal," said a statement.