Chalk up another spat in the uneasy marriage between insolvent automakers and government.
India's Tata Motors said it no longer needs British government guarantees on loans for its Jaguar Land Rover unit and will secure private funding instead. Tata said it was close to finding a commercial backer for a European Investment Bank loan, according to Reuters.
The British government has been holding talks with Tata and Jaguar Land Rover on guaranteeing short-term and long-term loans.
But media reports quoted industry experts in May as saying the talks were stalled because the carmaker would not accept the tough conditions imposed by Britain in return for guaranteeing loans. One of the terms was the right of the government to veto management decisions at the British brands.
A Tata statement attributed its move to "the positive trend in the external environment in financial markets and improvement in general liquidity."