View source for MG Rover Group

{{Short description|Former British car manufacturer}}
{{Use British English|date = March 2019}}
{{Use dmy dates|date=August 2020}}
{{Infobox company
| name        = MG Rover Group
| logo        = MG Rover Corporate Logo.jpg
| fate        = Administration, with £1.4 billion in debt, later liquidated
| brands      = {{ubl
  |[[MG Cars|MG]]
  |[[Rover (marque)|Rover]]
}}
| parent      = [[Phoenix Venture Holdings]]
| successor   = [[MG Motor]]
| predecessor = [[Rover Group]]
| foundation  = {{Start date and age|2000|5}}
| defunct     = {{Start date and age|2005|4}}
| location    = [[Longbridge]], [[Birmingham]], United Kingdom
| industry    = [[Automobiles]]
| key_people  = {{ubl|[[John Towers (businessman)|John Towers]], Chairman |[[Peter Stevens (car designer)|Peter Stevens]] Chief Designer
Kevin Howe, Chief Executive}}
| products    = <!--some of company's notable products-->
| locations   = {{ubl|[[Longbridge plant]], [[Birmingham]]| [[Cofton Hackett]]}}
| subsid      = {{ubl|MG Sport & Racing|[[MG XPower]]|[[Qvale Mangusta]]|BL Heritage Brands}}
| website     = {{url|https://web.archive.org/web/*/http://www.mg-rover.com}}
}}

'''MG Rover Group''' was a British [[carmaker]] that existed between 2000 and 2005. It was the last domestically owned mass-production car manufacturer in the [[British motor industry]]. The company was formed when [[BMW]] sold the car-making and engine manufacturing assets of the original [[Rover Group]] to [[Phoenix Venture Holdings]] in 2000.

MG Rover went into administration in 2005 and its key assets were purchased by [[Nanjing Automobile Group]],<ref>{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/4708739.stm
  | title=Rover sold to Nanjing Automobile
  | publisher=BBC
  | date=23 July 2005
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=19 November 2007
  | archive-url=https://web.archive.org/web/20071119174201/http://news.bbc.co.uk/1/hi/business/4708739.stm
  | url-status=live
  }}</ref> with Nanjing restarting [[MG Cars|MG]] sports car and sports saloon production in 2007. During that year Nanjing merged with [[SAIC Motor]] (the largest vehicle manufacturer in China). In 2009 the UK subsidiary was renamed [[MG Motor UK]]. The [[MG TF (2002)|MG TF]] was manufactured at the former MG Rover Longbridge plant and sold in the UK from 2008 to 2010. In 2011 the first all new MG for 16 years (the [[MG 6]]) was launched in the UK (assembled at the Longbridge factory). In 2013 a supermini was added to the line up (the [[MG 3]]), this went on to help MG Motor become the fastest growing car manufacturer within the UK in 2014.

The [[Rover (marque)|Rover brand]], which had been retained by BMW and licensed to MG Rover, was sold to [[Ford Motor Company|Ford]], which had bought [[Land Rover]] from BMW in 2000. The rights to the dormant Rover brand were sold by Ford, along with the [[Jaguar Cars]] and [[Land Rover]] businesses, to [[Tata Motors]] in 2008.

MG Rover Group was formally dissolved on 28 May 2023,<ref>{{cite web |url=https://find-and-update.company-information.service.gov.uk/company/01595268/filing-history/MzM4MTA3MTM5MGFkaXF6a2N4/document?format=pdf&download=0 |title=Final Gazette Notice – MG Rover Group Ltd |website=gov.uk |publisher=Companies House |format=PDF |date=28 May 2023 |access-date=24 April 2024 |archive-date=24 May 2024 |archive-url=https://web.archive.org/web/20240524151258/https://find-and-update.company-information.service.gov.uk/company/01595268/filing-history/MzM4MTA3MTM5MGFkaXF6a2N4/document?format=pdf&download=0 |url-status=live }}</ref> more than 18 years after it was originally put into administration in April 2005.<ref>{{cite web |url=https://find-and-update.company-information.service.gov.uk/company/01595268/filing-history/OTAzMDU4OTVhZGlxemtjeA/document?format=pdf&download=0 |title=Notice of administrator's appointment – MG Rover Group Ltd |website=gov.uk |publisher=Companies House |format=PDF |date=12 April 2005 |access-date=24 April 2024 |archive-date=24 May 2024 |archive-url=https://web.archive.org/web/20240524151357/https://find-and-update.company-information.service.gov.uk/company/01595268/filing-history/OTAzMDU4OTVhZGlxemtjeA/document?format=pdf&download=0 |url-status=live }}</ref>

==History==
===Establishment=== 
[[File:Camera Man Outside Longbridge Motorworks - geograph.org.uk - 148417.jpg|thumb|right|The MG Rover factory at the [[Longbridge plant]], 2006]] 
MG Rover was formed from the parts of the former [[Rover Group]] volume car production business which BMW sold off in 2000<ref>{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/679169.stm
  | title=BMW splits up Rover
  | publisher=BBC
  | date=17 March 2000
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=5 March 2008
  | archive-url=https://web.archive.org/web/20080305022226/http://news.bbc.co.uk/1/hi/business/679169.stm
  | url-status=live
  }}</ref><ref name="Rover's Revenge">{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/792612.stm
  | title=Rover's Revenge
  | publisher=BBC
  | date=15 May 2000
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=24 May 2024
  | archive-url=https://web.archive.org/web/20240524151251/http://news.bbc.co.uk/2/hi/business/792612.stm
  | url-status=live
  }}</ref> due to constant losses and a declining market share.<ref name="Rover's options">{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/678233.stm
  | title=Rover's options
  | publisher=BBC
  | date=15 March 2000
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=11 May 2004
  | archive-url=https://web.archive.org/web/20040511164341/http://news.bbc.co.uk/1/hi/business/678233.stm
  | url-status=live
  }}</ref><ref>{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/678140.stm
  | title=Nice cars, shame about the name
  | publisher=BBC
  | date=2 May 2000
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=14 July 2007
  | archive-url=https://web.archive.org/web/20070714225821/http://news.bbc.co.uk/1/hi/business/678140.stm
  | url-status=live
  }}</ref> BMW had acquired the Rover Group from [[British Aerospace]] in 1994 and had since sold the [[Land Rover]] business to [[Ford Motor Company|Ford]],<ref>{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/681170.stm
  | title=Ford pays £1.8bn for Land Rover
  | publisher=BBC
  | date=17 March 2000
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=7 October 2007
  | archive-url=https://web.archive.org/web/20071007184324/http://news.bbc.co.uk/1/hi/business/681170.stm
  | url-status=live
  }}</ref><ref>{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/761794.stm
  | title=BMW, Ford seal Land Rover deal
  | publisher=BBC
  | date=24 May 2000
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=12 April 2006
  | archive-url=https://web.archive.org/web/20060412174944/http://news.bbc.co.uk/1/hi/business/761794.stm
  | url-status=live
  }}</ref> and split off the [[Mini (marque)|MINI]] business as a new BMW subsidiary based in [[Cowley, Oxford|Cowley]].<ref>{{cite news
  | url=http://news.bbc.co.uk/1/hi/business/1342234.stm
  | title=A new life for the Mini
  | publisher=BBC
  | date=22 May 2000
  | access-date=30 April 2007
  | work=[[BBC Online]]
  | archive-date=17 January 2009
  | archive-url=https://web.archive.org/web/20090117002036/http://news.bbc.co.uk/1/hi/business/1342234.stm
  | url-status=live
  }}</ref> MG Rover took control of the volume component of the former [[Rover Group]], which in turn had evolved from [[British Leyland]] and the  [[British Motor Corporation]] - formerly [[Austin Motor Company|Austin]] and [[Morris Motors|Morris]]), which by now consisted solely of the [[Longbridge plant]] in [[Birmingham]]. 

Of the Rover Group's other major plants; [[Solihull plant|Solihull]] had already been divested as part of the sale of Land Rover to Ford, whilst the [[Plant Oxford|Cowley]] and [[Swindon]] plants were retained by BMW for the production of the new MINI family of vehicles. As part of these changes, all remaining Rover volume production at Cowley (essentially now just the [[Rover 75]] as the Rover 600/800 ranges had already been discontinued by this point), was moved to Longbridge, whilst MG Rover would be allowed to continue manufacturing the original [[Mini]] at Longbridge until the new MINI was launched by BMW a year later.

===Phoenix Consortium ownership===
When BMW sold off its interests, MG Rover was bought for a nominal £10 in May 2000 by a specially assembled group of businessmen known as the Phoenix Consortium.<ref name="Rover's Revenge"/> The consortium was headed by ex-Rover Chief Executive [[John Towers (businessman)|John Towers]]. When Phoenix took over, their first loss for the last eight months of 2000 were reported to be around £400m. By 2004, the company had reduced the losses to around £80m but never made a profit.
 
MG Rover's best year for car sales was their first full year of business, in 2001 – when they sold over 170,000 cars. In 2004 their sales had declined to around 120,000. The company ceased trading on 8 April 2005, with debts of over £1.4 billion, after a proposed alliance with [[Shanghai Automotive Industry Corporation|SAIC]] collapsed.

In relation to this, accounting firm [[Deloitte]] was fined £14 million (US$22 million) in September 2013 for failing to manage conflicts of interest.  Deloitte had acted as corporate finance advisers to firms involved with MG Rover and the Phoenix Consortium, including tax advice while Deloitte audited MG Rover.  An independent tribunal refused to grant the right to appeal a finding that Deloitte failed to consider public interest, as of November 2013.<ref>Reuters - Deloitte granted leave to appeal record MG Rover fine</ref>

===Aborted deal with SAIC===
[[File:2004 Rover CityRover.jpg|thumb|right|The [[Rover CityRover]] (2003), a collaborative venture between MG Rover and [[Tata Motors]]]] 
In June 2004, it was learned that [[Shanghai Automotive Industry Corporation]] had signed a joint venture partnership to develop new models and technologies with MG Rover.<ref name="Archive : SAIC to buy MG Rover?">{{cite web |last1=Adams |first1=Keith |title=Archive : SAIC to buy MG Rover? |url=https://www.aronline.co.uk/archive/archive-saic-to-buy-mg-rover/ |website=AROnline |access-date=29 June 2025 |date=23 August 2004}}</ref> This led to much speculation among the British media suggesting the Chinese company was poised to launch a takeover.<ref name="Archive : SAIC to buy MG Rover?"/> Later that year, in November, news broke of an agreement between the two companies to create a joint venture company to produce up to a million cars a year, with the production shared between MG Rover's Longbridge site and locations in China. SAIC were to have a 70% stake in this company in return for a £1 billion investment, with MG Rover owning the remaining 30%.<ref name="MG Rover offers know-how to Chinese partner">{{cite web |last1=Griffiths |first1=Ian |title=MG Rover offers know-how to Chinese partner |url=https://www.theguardian.com/business/2004/oct/25/motoring.carindustry |website=The Guardian |access-date=29 June 2025 |date=24 October 2004}}</ref> However, this agreement had to be ratified by the Chinese government, specifically its [[National Development and Reform Commission]] (NDRC).<ref name="MG Rover offers know-how to Chinese partner"/> The Commission held the opinion that if BMW could not make a success of Rover, then it would be hard for SAIC to do so. On 8 December 2004, [[Tata Motors|Tata]] of India, which had cooperated over the export of the [[Tata Indica]] as the [[Rover CityRover|CityRover]], threatened to cease its agreement with MG Rover if the SAIC tie-up went ahead, according to the Indian press. Tata claimed the report was inaccurate two days later.<ref>{{cite web |title=INDIA: Tata may end deal with MG Rover over SAIC tie-up |url=https://www.just-auto.com/news/india-tata-may-end-deal-with-mg-rover-over-saic-tie-up/ |website=Just Auto |access-date=29 June 2025 |date=8 December 2004}}</ref>

In January 2005, it was revealed that British Prime Minister [[Tony Blair]] had intervened to support the alliance between MG Rover and SAIC.<ref>{{cite web |title=The closure of MG Rover and the need for an international perspective |url=https://www.wsws.org/en/articles/2005/04/rov3-a28.html |website=World Socialist Web Site |access-date=29 June 2025 |language=en |date=28 April 2005}}</ref> MG Rover could not give a date on which the agreement would be finalized. In April 2005, it was reported that the partnership deal with SAIC was in trouble because the British Government had decided to withdraw its offer of a £120 million loan to keep the deal going.<ref>{{cite web |last1=Elliott |first1=Larry |last2=Milner |first2=Mark |title=Blair tells Rover bosses: put your own money on the line |url=https://www.theguardian.com/business/2005/apr/02/carindustry.motoring |website=The Guardian |access-date=29 June 2025 |date=1 April 2005}}</ref> On 7 April 2005 the company announced that it was suspending production because of component shortages. Later in the day, it was announced by [[Patricia Hewitt]], the [[Secretary of State for Trade and Industry]], that the company was being placed in receivership.<ref name="5,000 MG Rover workers to lose their jobs">{{cite web |title=5,000 MG Rover workers to lose their jobs |url=https://www.fleetnews.co.uk/news/2005/4/15/5-000-mg-rover-workers-to-lose-their-jobs/19198/ |website=www.fleetnews.co.uk |access-date=29 June 2025 |language=en}}</ref> Her statement was based on a conversation with MG Rover chairman, [[John Towers (businessman)|John Towers]]. It was later denied by MG Rover Group, although the company admitted that it had engaged [[PricewaterhouseCoopers]], the [[accountancy]] firm, to advise on its current financial situation.<ref name="5,000 MG Rover workers to lose their jobs"/> In the event, MG Rover placed itself in [[Administration (law)|administration]] on 8 April 2005, a different status from [[receivership]] under British law.<ref>{{cite web |last1=Tran |first1=Mark |title=Rover goes into administration |url=https://www.theguardian.com/business/2005/apr/08/carindustry.politics |website=The Guardian |access-date=29 June 2025 |date=8 April 2005}}</ref> On 8 April 2005, British Prime Minister Tony Blair and [[Gordon Brown]], the [[Chancellor of the Exchequer]], and Richard Burden, Labour M.P. for Birmingham Northfield visited Tony Woodley at the offices of the [[Transport and General Workers' Union]] in [[Birmingham]] and stated that there might be some hope for the future of the company, although not the original deal agreed with SAIC.<ref>{{cite web |last1=Branigan |first1=Tania |title=Brown raises hopes for MG Rover |url=https://www.theguardian.com/business/2005/feb/23/politics.motoring |website=The Guardian |access-date=29 June 2025 |date=23 February 2005}}</ref>

On 10 April 2005, MG Rover announced that they had received a £6.5M loan from the British Government.<ref>{{cite news | title=MG Rover gets £6.5m loan lifeline | date=10 April 2005 | publisher=BBC | url=http://news.bbc.co.uk/1/hi/uk_politics/vote_2005/frontpage/4429663.stm | access-date=10 April 2005 | archive-date=12 April 2005 | archive-url=https://web.archive.org/web/20050412195737/http://news.bbc.co.uk/1/hi/uk_politics/vote_2005/frontpage/4429663.stm | url-status=live }}</ref> This would cover workers' wages for one week while buy-out proposals were made to SAIC. The same week, SAIC denied it had ever made an offer to buy MG Rover and threatened to sue anyone who attempted to make the 25 and 75 models.<ref>{{cite web |title=The closure of MG Rover |url=https://publications.parliament.uk/pa/cm200506/cmselect/cmpubacc/1003/1003.pdf |website=House of Commons |access-date=19 June 2025}}</ref> SAIC purchased the technical rights to manufacture Rover's 25 and 75 models, and for the [[Powertrain Ltd]] business, for £67M. It did not acquire the Rover name, which was still owned by BMW at the time.<ref>{{cite web |title=Rover sold to Nanjing Automobile |url=http://news.bbc.co.uk/1/hi/business/4708739.stm |website=BBC News |access-date=19 June 2025 |date=23 July 2005}}</ref>

===Financial ruin and liquidation===
On 15 April 2005, it was announced that SAIC had once again rejected pleas to buy out the company.<ref>{{cite web |last1=Brooks |first1=Mick |title=MG Rover: What Went Wrong? |url=https://marxist.com/britain-rover250405.htm |website=In Defence of Marxism |access-date=29 June 2025 |language=en-gb |date=15 June 2005}}</ref> With no other rescue deal in the pipeline, the administrators were not in a position to seek further funding from the government and announced that redundancy notices to Longbridge staff (who numbered more than 6,000) would be issued.<ref>{{cite web |title=Rover workers share £14m payout |url=http://news.bbc.co.uk/1/hi/business/4318506.stm |website=BBC |access-date=29 June 2025 |date=7 October 2005}}</ref> As well as the job losses at Longbridge, the months which followed the collapse of MG Rover resulted in many job losses in the supply chain, as well as jobs in MG Rover dealerships, as these businesses either went bankrupt, were faced with having to make job cuts, or in the case of some dealerships switched to different brands. By the end of April 2005, Sir [[Richard Branson]] had reportedly expressed an interest in buying the remaining assets of the company for the purpose of reviving the marque in order to enter the hybrid automobile market, and several other parties were also rumoured as wishing to buy the remnants.<ref>{{cite web |title=Richard Branson: 'We should abolish income tax and make electric cars' |url=https://www.independent.co.uk/news/uk/politics/richard-branson-we-should-abolish-income-tax-and-make-electric-cars-5345172.html |website=The Independent |access-date=29 June 2025}}</ref> These included two Russian businessmen, although one of them denied any interest in buying the company's assets. The Iranian state-owned car manufacturer, [[SAIPA]] who had worked with MG Rover installing the K series engine in a car for the Iranian market that was based on the old [[Mazda 121]] and [[Kia Pride]], were also rumoured to be potential buyers.

[[File:2005 Rover 75 CDT Connoisseur 1.9.jpg|thumb|right|The last production [[Rover 75]] model, a CDTi Connoisseur, 2005]]

SAIC had claimed that it had already acquired [[intellectual property]] rights in some Rover products for £67 million in the autumn of 2004, including the [[Rover 25]], the [[Rover 75]] and the Rover Powertrain [[Rover K engine|K-series]] engine, but the Administrators advised that there was still interest in saving some other parts of the company, including MG, and 13 May 2005 was set as the deadline for bids from potential investors.<ref>{{cite web |title=Fleets wait for warranty news as MG Rover sold |url=https://www.fleetnews.co.uk/news/2005/7/26/fleets-wait-for-warranty-news-as-mg-rover-sold/19930/ |website=www.fleetnews.co.uk |access-date=29 June 2025 |language=en}}</ref> On 20 May 2005, the Administrators announced that, after considering numerous proposals, they had entered talks with two unnamed "overseas companies" with a view to restarting one or more of the Longbridge production lines. Nevertheless, the following week they informed [[creditor]]s that they by then expected the company to proceed instead to a creditors' voluntary [[liquidation]], setting the date for a preliminary Creditors' Meeting to be held in [[Birmingham]] on 10 June 2005. At that meeting, creditors learned that so little of value was left in the company that there would probably be negligible or even no repayment of its outstanding debt and that, although three bidders were then still negotiating to acquire the company intact as a going concern, the Administrators had instructed their [[Agency (law)|agents]] to prepare for the piecemeal sale of the very few remaining [[asset]]s in the event that satisfactory negotiations for the sale of the entire business were not concluded.

On 14 July 2005, it was reported that Magma Holdings, a financial group including former [[Ford Motor Company]] and [[General Motors Corporation|General Motors]] executives, working in conjunction with SAIC, would be making an offer for the assets of both MG Rover and engine maker Rover Powertrain which, if successful, would see at least some production being restarted at Longbridge, and that talks with the other two interested parties&nbsp;– China's [[Nanjing Automobile Group]] and Project Kimber (a [[consortium]] of Birmingham businessmen led by [[David James (business)|David James]])&nbsp;– were still in progress. More than 6,000 workers at MG Rover lost their jobs when the company went into liquidation.<ref>{{cite news | url=http://news.bbc.co.uk/1/hi/england/west_midlands/4740656.stm | work=BBC News | title=Community still mourns MG passing | date=22 February 2006 | access-date=12 April 2011 | archive-date=3 January 2008 | archive-url=https://web.archive.org/web/20080103002808/http://news.bbc.co.uk/1/hi/england/west_midlands/4740656.stm | url-status=live }}</ref> As many as 25,000 jobs were reported to have been lost in related supply industries, meaning that the total number of job losses brought on by MG Rover's collapse was somewhere in the region of 30,000.<ref>{{cite news |url=http://www.socialistworker.co.uk/art.php?id=6240 |title=Mainstream parties that offer no solutions to Rover crisis&#124;16Apr05 |newspaper=Socialist Worker (Britain) |publisher=Socialist Worker |date=16 April 2005 |access-date=15 September 2011 |archive-date=22 September 2012 |archive-url=https://web.archive.org/web/20120922045248/http://www.socialistworker.co.uk/art.php?id=6240 |url-status=live }}</ref>

===Nanjing===
On 18 July, Magma Holdings and SAIC formalized their bid with a reported offer of £60M, with a number of additional conditions.  However, that offer was not well received, and on 22 July, the Administrators announced that the principal remaining assets of the group had been sold to the Nanjing Automobile Group for around £53M, with a deposit of around $5M.  Nanjing Automobile Group indicating that their preliminary plans involved relocating the Powertrain engine plant to China and splitting car production into Rover lines in China and MG lines in the [[West Midlands (county)|West Midlands]] (though not necessarily at Longbridge), where a UK [[Research and development|R&D]] and technical facility would also be developed. But on 27 August, ''[[The Daily Telegraph]]'' reported that the balance of around £47M, due on 22 August had not been paid. Citing confidentiality, the Administrators declined to comment.

[[File:MG Motor UK HQ - SAIC UK Technical & Design Centre.jpeg|thumb|left|MG Motor UK HQ - SAIC UK Technical & Design Centre]]

Because the [[Rover 45]] range produced at Longbridge had still had significant Honda content, originating from the companies' legacy partnership with Rover and British Leyland, Honda executives moved quickly to terminate the licensing agreement and removed tooling and assembly equipment for the car from Longbridge. Nanjing Automobile started shipping equipment from Longbridge to China on 15 September and, according to a report in ''[[The Times]]'' on Saturday, 17 September, were close to a deal with SAIC under which they would manufacture the Rover 25 and Powertrain engines while SAIC would produce a stretched Rover 75. Nanjing Automobile Group was reported to be in exclusive negotiations with GB Sports Cars, a venture by former Rover managers, to re-establish MG production at Longbridge.

In late October, key ex-workers received letters from Nanjing Automobile Corp offering 10 months' work dismantling plant at Longbridge for reassembly in China while talks with GB Sports Cars continued. However, after announcing that the UK government had not offered any substantial assistance in either grants or loans, Nanjing Automobile was also reported to have begun negotiations with at least two other potential partners, including "a wealthy San Francisco family", and, in early November, Nanjing committed to making every effort "to resume production [at Longbridge] at the beginning of 2007". In August 2008, more than three years after the facility had closed due to MG Rover's bankruptcy, assembly at Longbridge of a lightly revised [[MG F#TF|MG TF]] [[Roadster (automobile)|roadster]] for the European market, from Chinese-built [[Knock-down kit|semi-knocked-down]] (SKD) kits, restarted.<ref>[http://news.bbc.co.uk/1/hi/england/west_midlands/7536527.stm Production resumes at Longbridge] {{Webarchive|url=https://web.archive.org/web/20231014091449/http://news.bbc.co.uk/1/hi/england/west_midlands/7536527.stm |date=14 October 2023 }} - [[BBC News]].</ref>

SAIC Motor merged with Nanjing Automobile in 2007, whilst nearly three-quarters of the massive Longbridge factory had been demolished and its land sold off - the old South Works is the only part of the plant which has survived.  By 2011 MG Motor UK as it is now known started production of the first all new MG in 16 years, the MG6. In 2013 a new super-mini was added to the line up, the MG3. This was launched in summer 2013 and during 2014 helped in making MG Motor the fastest growing vehicle manufacturer within the UK. During the spring of 2015 a new MG6 was launched and plans for a new SUV were unveiled for the following year.

==Official reports==
The UK Government commissioned reports into the collapse of the company. The [[National Audit Office (United Kingdom)|National Audit Office]] reported in March 2006 on the financial support provided to the company. It commended the DTI's contingency planning in 2004, but questioned whether the loan made in April 2005 achieved value for money.<ref>{{cite report |last=Bourn |first=John |date=7 March 2006 |title=The Closure of MG Rover |url=https://webarchive.nationalarchives.gov.uk/ukgwa/20170207052351/https://www.nao.org.uk/wp-content/uploads/2006/03/0506961.pdf |publisher=[[National Audit Office (United Kingdom)|National Audit Office]] |access-date=11 August 2009}}</ref>

In May 2005, the DTI commissioned accountants [[BDO Global|BDO Stoy Hayward]] to make a report under section 432 of the [[Companies Act 1985]] on the collapse of the company; this took four years to complete at a cost of £16.3 million.<ref>{{cite news |last1=Webb |first1=Tim |last2=Wintour |first2=Patrick |date=11 September 2009 |title=Phoenix Four face heavy criticism in report into MG Rover's collapse |url=https://www.theguardian.com/business/2009/sep/11/phoenix-four-mg-rover-report |work=[[The Guardian]] |access-date=13 November 2025}}</ref><ref name="guardian 052011"/> In July 2009, the firm issued its report to Secretary of State for Business, Innovation and Skills [[Peter Mandelson]], and it was published on 11 September 2009. The report revealed that five executives took £42m in pay and pensions from the troubled firm as it collapsed. This was possible as Techtronic, the company that held the 427 million pound loan from BMW and was owned by the Phoenix Four, charged MG Rover interest and therefore made a profit.<ref>{{cite news | author=<!--not stated--> | url=http://news.bbc.co.uk/1/hi/uk_politics/8251846.stm | work=[[BBC News]] | title=War of words over Rover collapse | date=11 September 2009 | access-date=12 May 2010 | archive-date=24 May 2024 | archive-url=https://web.archive.org/web/20240524151349/http://news.bbc.co.uk/2/hi/uk_news/politics/8251846.stm | url-status=live }}</ref><ref>{{cite web |last=Peston |first=Robert |author-link=Robert Peston |title=How did Phoenix Four do it? |url=https://www.bbc.co.uk/blogs/thereporters/robertpeston/2009/09/how_did_phoenix_four_do_it.html |date=11 September 2009 |access-date=2021-05-14 |website=bbc.co.uk |language=en |archive-date=14 May 2021 |archive-url=https://web.archive.org/web/20210514200653/https://www.bbc.co.uk/blogs/thereporters/robertpeston/2009/09/how_did_phoenix_four_do_it.html |url-status=live }}</ref> The report focused its criticism on the [[Phoenix Venture Holdings|Phoenix Four]] and chief executive Kevin Howe who oversaw its collapse.

Other findings included evidence of a personal relationship between Nick Stephenson and a consultant who he paid more than £1.6m in the 15-month period up to April 2005.<ref>{{cite news |last1=Jagger |first1=Suzy |last2=Spence |first2=Alex |url=http://business.timesonline.co.uk/tol/business/industry_sectors/transport/article6830331.ece |url-status=dead |title=Lies and cover-up at MG Rover exposed by report |date=12 September 2009 |work=[[The Times]] |location=London |archive-url=https://web.archive.org/web/20091009201230/http://business.timesonline.co.uk/tol/business/industry_sectors/transport/article6830331.ece |archive-date=9 October 2009}}</ref> Meanwhile, "Evidence Eliminator" software installed by Mr Beale {{who|date=December 2018}} deleted documents which were likely to have been relevant to the investigation. The investigators further accused Mr Beale of giving "untruthful" evidence during interviews.<ref>{{cite report |last1=MacGregor |first1=Gervase |last2=Newey |first2=Guy |year=2009 |url=http://www.berr.gov.uk/files/file52782.pdf |title=Report On The Affairs Of Phoenix Venture Holdings Limited, MG Rover Group Limited and 33 Other Companies Volume I |publisher=[[Department for Business, Innovation and Skills]] |access-date=15 September 2011 |ISBN=9780115155239 |url-status=dead |archive-url=https://web.archive.org/web/20110817023542/http://www.berr.gov.uk/files/file52782.pdf |archive-date=17 August 2011}}</ref><ref>{{cite report |last1=MacGregor |first1=Gervase |last2=Newey |first2=Guy |year=2009 |url=http://www.berr.gov.uk/files/file52783.pdf |title=Report On The Affairs Of Phoenix Venture Holdings Limited, MG Rover Group Limited and 33 Other Companies Volume II |publisher=[[Department for Business, Innovation and Skills]] |access-date=15 September 2011 |ISBN=9780115155239 |url-status=dead |archive-url=https://web.archive.org/web/20110816170155/http://www.berr.gov.uk/files/file52783.pdf |archive-date=16 August 2011}}</ref>

Conservative business spokesman Kenneth Clarke said it was right the report criticised the Phoenix Four, whose behaviour was "disgraceful". Peter Mandelson said the Phoenix group had not shown an "ounce of humility" about the firm's demise and they owed an apology to the firm's employees and creditors.

The [[Serious Fraud Office (United Kingdom)|Serious Fraud Office]] declined to mount an investigation into the matter,<ref>{{cite news |author=<!--not stated--> |url=http://news.bbc.co.uk/1/hi/business/8194481.stm |title=No probe into MG Rover collapse |work=[[BBC News]] |date=11 August 2009 |access-date=11 August 2009 |archive-date=9 December 2023 |archive-url=https://web.archive.org/web/20231209013627/http://news.bbc.co.uk/1/hi/business/8194481.stm |url-status=live }}</ref> but Mandelson instructed lawyers to prepare a case to disqualify the key figures at [[Phoenix Venture Holdings|Phoenix]] from future company directorships.<ref>{{cite news |last1=Bowers |first1=Simon |last2=Wearden |first2=Graeme |url=https://www.theguardian.com/business/2009/aug/11/mg-rover-sfo-phoenix-four |title=Former MG Rover bosses face boardroom ban |work=[[The Guardian]] |date=11 August 2009 |access-date=11 August 2009 |archive-date=24 May 2024 |archive-url=https://web.archive.org/web/20240524151214/https://www.theguardian.com/business/2009/aug/11/mg-rover-sfo-phoenix-four |url-status=live }}</ref> In May 2011, the Phoenix Four were disqualified as acting as company directors for varying lengths of time, totalling 19 years.<ref name="guardian 052011">{{cite news |last=Goodley |first=Simon |url=https://www.theguardian.com/business/2011/may/08/mg-rover-directors-banned-collapse |title=MG Rover directors banned from running companies after collapse |work=[[The Guardian]] |date=8 May 2011 |access-date=27 April 2024 |archive-date=24 May 2024 |archive-url=https://web.archive.org/web/20240524151349/https://www.theguardian.com/business/2011/may/08/mg-rover-directors-banned-collapse |url-status=live }}</ref>

==Sales==
[[File:2005 MG ZR+ 105 1.4 Front.jpg|thumb|right|The [[MG ZR]] proved popular for MG Rover when introduced in 2001]] 
The MG Rover range initially consisted of five cars: the [[Mini]], [[Rover 25]], [[Rover 45]], [[Rover 75]] and [[MG F]] along with car-derived van derivatives of the 25.<ref>{{cite web |title=Old model army cramps MG Rover's style |url=http://news.bbc.co.uk/1/hi/business/4412903.stm |website=BBC News |access-date=19 June 2025 |date=5 April 2005}}</ref> The Mini was only built under temporary licence during the first five months of MG Rover's existence, and since the 1980s had only been built in limited numbers. After production finished, previous owner BMW regained the rights to use the brand, and did so on an all-new car that was launched in 2001, the [[Mini (marque)|MINI]].<ref>{{cite web |title=BMW attacks 'Mini' traders |url=https://www.motortrader.com/general-news/bmw-attacks-mini-traders-17-07-2000 |website=Motor Trader |access-date=19 June 2025 |language=en |date=17 July 2000}}</ref>

The Rover 25 and Rover 45 were recently facelifted versions of visibly ageing mid-1990s designs, but production figures had been slightly decreased due to a fall in demand, even though the Rover 25 had been Britain's best-selling car of the month in April 2000.<ref>{{cite web |last1=Morgan |first1=David |title=Raise a glass to : 20 years of the Rover 25 and 45 |url=https://www.aronline.co.uk/facts-and-figures/raise-a-glass-to/rover-25-45/ |website=AROnline |access-date=19 June 2025 |date=18 January 2020}}</ref>  Both cars still had significant Honda content within their design (for example, the 25 still used underpinnings based on the 1989 [[Honda Concerto]] and the related Series II [[Rover 200]], whilst the 45 was essentially a rebadged [[Honda Domani|Honda Civic/Domani]] outfitted with a K-series engine) - a legacy from Rover's one time partnership with Honda, which necessitated paying the Japanese company significant royalties on every car sold which further dented the profitability of those models.

The acclaimed Rover 75 was little over a year old, and after a slow start sales were rising.<ref>{{cite web |title=MG Rover cars bounce back |url=http://news.bbc.co.uk/1/hi/business/1102607.stm |website=BBC News |access-date=19 June 2025 |date=5 January 2001}}</ref> An estate version was launched following the shift of production from [[Cowley, Oxfordshire|Cowley]] to [[Longbridge plant|Longbridge]]. The replacement for the MG F, the [[MG F#TF|MG TF]] sports car was, inevitably, a relatively low-volume product, but it had consistently been the most popular car in its sector since its 1995 launch.

The Rover 25 and Rover 45 endured disappointing sales throughout MG Rover's existence, though their [[MG ZR]] and [[MG ZS (2001)|MG ZS]] sports variants proved popular from their launch in 2001.<ref>{{cite web |title=Popular MG ZR |url=https://www.fleetnews.co.uk/news/2004/12/8/popular-mg-zr/18298/ |website=www.fleetnews.co.uk |access-date=19 June 2025 |language=en}}</ref> The Rover 75 and its [[MG ZT]] sports variant enjoyed more popularity.

The range further expanded in 2003 with the launch of the smallest model, the Indian-built [[Rover CityRover|CityRover]], built as part of a venture with [[Tata Motors|Tata]],<ref>{{cite web |last1=Gow |first1=David |title=U-turn sought in CityRover launch |url=https://www.theguardian.com/business/2003/jul/09/carindustry.motoring |website=The Guardian |access-date=19 June 2025 |date=9 July 2003}}</ref> and a flagship model, the [[MG XPower SV]], based on the [[Qvale Mangusta]]. Both cars, however, failed to achieve the sales figures that MG Rover had hoped for.

{| class="wikitable" style=";"
|- align="center"
| style="background:#e2e2e2;"|'''Year'''
| style="background:#e2e2e2;"|'''European sales'''
| style="background:#e2e2e2;"|'''European market share'''
|-
|2000
| align="center" | 197,940
| align="center" | 1.32%
|-
|2001
| align="center" | 159,685
| align="center" | 1.06%
|-
|2002
| align="center" | 142,355
| align="center" | 0.97%
|-
|2003
| align="center" | 135,227
| align="center" | 0.94%
|-
|2004
| align="center" | 114,069
| align="center" | 0.71%
|-
|2005
| align="center" | 46,583
| align="center" | 0.29%
|-
|2006
| align="center" | 7,783
| align="center" | 0.05%
|}

==Vehicles==
MG Rover made the following vehicles during its lifetime:

{| class="wikitable"
|-
! Model !! Picture !! Years !! Class
|-
| [[MG F]] || [[File:MG F-TF front 20071219.jpg|150px]] || 1995–2001 || [[Roadster (automobile)|Roadster]]
|-
| [[MG F#TF|MG TF]] || [[File:Mg TF 2004.jpg|150px]] || 2002–2005 || [[Roadster (automobile)|Roadster]]
|-
| [[MG ZR]] || [[File:Mgzr160sampler.jpg|150px]] || 2001–2005 || [[Hot hatch]]
|-
| [[MG ZS (2001)|MG ZS]] || [[File:Mg zs 180 2003.jpg|150px]] || 2001–2005 || [[FF layout|FF-layout]] [[midsize car|Mid-size]]/[[Large family car|Medium Family]]
|-
| [[MG ZT]] || [[File:2003 MG ZT-T+ 190 station wagon (2015-07-24) 01.jpg|150px]] || 2001–2005 || 5-door [[Executive car]]/[[Large family car|Large Family]]
|- 
| [[MG XPower SV]] || [[File:MG XPower SV-R.jpg|150px]] || 2003–2005 || [[Sports car]]
|-
| [[Rover 25]] || [[File:Rover 25 facelift.JPG|150px]] || 1999–2005 || [[Small family car|Small Family]] [[Hatchback]]
|-
| [[Rover_400_/_45#Rover_45_(1999–2005)|Rover 45]]|| [[File:Rover 45 5door.JPG|150px]] || 1999–2005 || [[midsize car|Mid-size]]/[[Large family car|Medium Family]]
|-
| [[Rover 75]] || [[File:Rover 75a.jpg|150px]] || 1999–2005 || 5-door [[Executive car]]/[[Large family car|Large Family]]
|-
| [[Rover CityRover]] || [[File:2004 Rover CityRover.jpg|150px]] || 2003–2005 || 5-door Family [[Supermini]]
|- 
| [[Rover Streetwise]] || [[File:Rover Streetwise 2.0L TDI 101 HP.jpg|150px]] || 2003–2005 || 3/5-door [[Crossover (automobile)|Crossover]]
|}

==Timeline==
===MG Rover (2000–2005)===
* May 2000: MG Rover was formed as the part of the former Rover Group's mass-market car business which BMW sold to the [[Phoenix Consortium]] for a nominal £10. BMW retains the [[Mini]] arm of the company and the [[Land Rover]] arm of the company is sold to [[Ford Motor Company|Ford]] for £1.85 billion. Production of the [[Rover 75]] is switched from [[Cowley, Oxfordshire|Cowley]] to [[Longbridge plant|Longbridge]] following BMW's decision to retain the Cowley plant. 
* 2001: MG Rover buy the factory and the rights to the platform of the [[Qvale Mangusta|Mangusta]] car from [[Qvale]] of Italy for an estimated £10 million.<ref>[https://www.sfgate.com/business/article/Return-of-the-MG-New-ownership-plans-to-bring-a-2900921.php Return of the MG / New ownership plans to bring a beloved roadster back to the U.S. market] . San Francisco Chronicle, 7 July 2001. Retrieved 4 February 2011</ref>
* 2001: The Rover 75 Tourer is launched.
* 2001: The [[MG ZR]], [[MG ZS (2001)|MG ZS]] and [[MG ZT]] (based on the [[Rover 25]], [[Rover 45]] and [[Rover 75]] respectively) are launched as sporting alternatives to the standard Rover models.
* 2002: A revised version of the MG F is launched as the [[MG F#TF|MG TF]].
* 2002: MG Rover agrees to collaborate with [[Tata Group|Tata]] of India, with the intention of importing the [[Tata Indica]] to Europe from next year under the Rover brand.
* 2002: MG Rover also goes into talks with [[Brilliance China Auto]] with plans to build MG Rovers in a plant in China
* 2003: MG Rover launches the new [[MG XPower SV]] and SV-R sportscars, prices start at around £65,000. The car is based on the Qvale Mangusta and uses the [[Ford Modular engine|Ford 4.6-litre V8 engine]] with two different power outputs.
* 2003: MG Rover launches the new [[CityRover]] - a small 5-door hatchback city car, based on the [[Tata Indica]], the first product of the collaboration with [[Tata Motors]]. The car is built in India.
* 2003: MG Rover launches V8 variants of the Rover 75 and the MG ZT.
* 2003: MG Rover launch a restyled version of the Rover 25, the [[Rover Streetwise]]. Referred to as an "urban on-roader", it has [[SUV]]-like styling.
* 2003/04: MG Rover sell the Longbridge factory to [[St. Modwen Properties]] on a lease-back basis to raise funds.
* 2004: MG Rover launches facelifted versions of the Rover 25/45/75 and MG ZR/ZS/ZT with revised front and rear ends, with the intention of replacing these models with all-new replacements from 2006. Rover 25/45/Streetwise and MG ZR/ZS also get revised fascias.
* 2004: MG Rover enters in talks with [[Shanghai Automotive Industry Corporation]] (SAIC) about a possible collaboration, following the collapse of a proposed venture with [[Malaysia]]n carmaker [[Proton (car)|Proton]].
* 2004: MG Rover sell design rights to the Rover 25 and 75 to SAIC to raise money to help keep the business afloat in the face of falling sales.
* 2005: Negotiations on possible joint venture with SAIC stall, and MG Rover collapses. Price Waterhouse Coopers called in as [[Administration (insolvency)|administrators]]. MG Rover car production ends and the Longbridge plant closes with the loss of more than 6,000 jobs.

===Nanjing Automobile Group (2005–2016)===

* 2005: [[Nanjing Automobile Group]] acquires the entire assets of MG Rover.
* 2005/06: Nanjing Automobile Corporation announces plans to build cars at Longbridge after signing a deal to lease the site for 33 years.
* 2006: SAIC sets up a new marque called [[Roewe]] after it failed to buy the [[Rover Company|Rover]] marque, and later launches a model based on an extended [[Rover 75]] platform, called the [[Roewe 750]].
* 2006: Ford buys the rights to the Rover marque, meaning that only the MG marque can be used on the new range of Nanjing-built cars.
* 2007: Nanjing Automobile Corporation restarts MG TF production in China.
* 2007: SAIC and Nanjing Automobile Corporation announce a tie-up and on the 26 December NAC becomes a part of SAIC.
* 2008: Production of the limited edition MG TF LE500 commences at the Longbridge plant.
* 2009: Production of the standard MG TF 135 commences at Longbridge.
* 2010: Final assembly of the MG6 from Chinese kits starts at Longbridge
* 2010: MG TF production ends due to falling demand
* 2011: MG 6 Fastback production commences<ref>{{cite web |title=New MG rolls off production line at Longbridge |url=https://www.smmt.co.uk/2011/04/mg-prepares-for-all-new-vehicle-to-roll-off-production-line-at-longbridge/ |website=SMMT |access-date=16 May 2020 |date=13 April 2011 |archive-date=20 April 2021 |archive-url=https://web.archive.org/web/20210420235446/https://www.smmt.co.uk/2011/04/mg-prepares-for-all-new-vehicle-to-roll-off-production-line-at-longbridge/ |url-status=live }}</ref>
* 2016: MG production at Longbridge ends<ref>{{cite web |title=MG to end UK car production at Longbridge with switch to China |url=https://www.bbc.co.uk/news/uk-england-birmingham-37449289 |website=BBC News |access-date=16 May 2020 |date=23 September 2016 |archive-date=21 February 2024 |archive-url=https://web.archive.org/web/20240221091518/https://www.bbc.co.uk/news/uk-england-birmingham-37449289 |url-status=live }}</ref>

==Sponsorship==
MG Rover sponsored [[Aston Villa F.C.|Aston Villa Football Club]] from 2002 to 2004, with Villa's home kit advertising Rovers and the away kit advertising MGs. Also, the company had sponsored the popular [[ITV (TV network)|ITV]] murder drama series ''[[Midsomer Murders]]'', in which a range of MG Rover cars were presented.

==Brands==
All of the following brands were controlled by MG Rover, and were formerly the property of British Leyland.

* 1895 [[Wolseley Motors|Wolseley]]
* 1905 [[Austin Motor Company|Austin]]
* 1912 [[Morris Motors|Morris]]
* 1913 [[Vanden Plas]] as a coachbuilder and as a car brand (outside the US & Canada)
* 1923 [[MG (car)|MG]] was created by [[Cecil Kimber]] based on [[Morris Motors|Morris]] components
* 1930 [[American Austin]] a brand name created by [[Austin Motor Company|Austin]] for US market
* 1947 [[Vanden Plas Princess|Princess]] was created by [[Vanden Plas]] as a luxury car name
* 1987 [[Sterling (car)|Sterling]] created as a separate brand in the US by the Rover Group

The [[Rover Company|Rover]] brand was used under licence from BMW, and was sold to Ford following the collapse of MG Rover; it was subsequently bought in 2008 by TATA.<ref>{{cite news|title=Rover brand name passes to Ford|date=18 September 2006|publisher=BBC|url=http://news.bbc.co.uk/1/hi/business/5358590.stm|access-date=19 September 2006|archive-date=18 January 2007|archive-url=https://web.archive.org/web/20070118171239/http://news.bbc.co.uk/1/hi/business/5358590.stm|url-status=live}}</ref>

The ''MG XPower'' brand was created by MG Rover for their [[motorsport]] subsidiary, MG Sport and Racing Ltd. in 2001.<ref>{{cite web |archive-url= https://web.archive.org/web/20110805142804/http://www.mgcars.org.uk/racing/xpower/index.html |archive-date= 5 August 2011 |url=http://www.mg-cars.org.uk/racing/xpower/ |title=MG X Power is launched |website=www.mgowners.net |access-date=15 September 2009}}</ref>{{Better source needed|date=March 2017}} It was subsequently used for the [[MG XPower SV]] [[sportscar]], a higher powered version of the Qvale Mangusta, in 2005. After the demise of MG Rover, assets of MG Sport and Racing relating to the XPower SV were acquired from [[PricewaterhouseCoopers|PWC]], the Administrators, by the newly formed [[MG Sports and Racing Europe]] Ltd. However this company's use of the "MG" trademark resulted in a legal dispute with [[Nanjing Automobile (Group) Corporation]], which had also acquired assets of the defunct MG Rover Group.<ref name="ft-2008">
{{cite news
  | url=https://www.ft.com/content/a227419e-4a2d-11dd-891a-000077b07658 |archive-url=https://ghostarchive.org/archive/20221210/http://www.ft.com/cms/s/0/a227419e-4a2d-11dd-891a-000077b07658.html |archive-date=10 December 2022 |url-access=subscription |url-status=live
  | title=Battle over MG badge shifts up a gear
  | last=Murphy
  | first=Megan
  | date=5 July 2008
  | publisher=BBC
  | work=[[Financial Times]]
  | access-date=4 January 2010
}}</ref> This case was won by Nanjing in February 2010.<ref name="bbc-nac">{{cite news
  | url=http://news.bbc.co.uk/1/hi/england/hereford/worcs/8525609.stm
  | title=Car maker wins MG trademark battle
  | date=19 February 2010
  | publisher=BBC
  | work=[[BBC Online]]
  | access-date=22 February 2010
  | archive-date=24 May 2024
  | archive-url=https://web.archive.org/web/20240524151402/http://news.bbc.co.uk/2/hi/uk_news/england/hereford/worcs/8525609.stm
  | url-status=live
  }}</ref>

==References==
{{reflist|30em}}

==External links==
* [https://web.archive.org/web/*/http://www.mg-rover.com/ MG Rover Group] (Archive)
* [http://www.austinmemories.com Austin Memories]

{{Rover}}
{{British Car Industry}}
{{British Leyland}}
{{Rover Cars}}
{{MG Motor}}
{{MG timeline 2000 to date}}
{{Automotive industry in the United Kingdom}}
{{Authority control}}

{{DEFAULTSORT:Mg Rover Group}}
[[Category:2000 establishments in England]]
[[Category:2005 disestablishments in England]]
[[Category:2005 mergers and acquisitions]]
[[Category:British companies disestablished in 2005]]
[[Category:British companies established in 2000]]
[[Category:British royal warrant holders]]
[[Category:Companies formerly listed on the London Stock Exchange]]
[[Category:Defunct companies based in Birmingham, West Midlands]]
[[Category:Defunct motor vehicle manufacturers of England]]
[[Category:MG Motor]]
[[Category:Vehicle manufacturing companies disestablished in 2005]]
[[Category:Vehicle manufacturing companies established in 2000]]