Full speed ahead: maintaining UK excellence in motorsport and aerospace - Business, Innovation and Skills Committee Contents


Examination of Witnesses (Question Numbers 200-220)

MOTORSPORT INDUSTRY ASSOCIATION, MOTOR SPORTS ASSOCIATION AND LOLA GROUP, COVENTRY UNIVERSITY

15 DECEMBER 2009

  Q200  Chairman: What attracted you to it and why do you praise it?

  Mr Manahan: Well, I praise it because I think it is a really good, concrete way of delivering something tangible. The AMRC is a department of the University of Sheffield which was very far-seeing and they engaged with Boeing to create the AMRC and, what they call, the "factory of the future". It was, I suppose, a way of galvanising support for the traditional skills associated with that area. You have got a lot of metalwork suppliers and you have got a good tradition of technical industry around there. They established the AMRC, as I said, in conjunction with Boeing. Lola is a board member of the AMRC, but they have various representations from machining companies all the way through to aerospace companies, and they do a number of things. They have composites departments, they have got departments which are trying to bring a link between academia and industry with real relevance to new technologies as well, and I think "relevance" is the key word for them.

  Q201  Chairman: You said you did not have any engagement with academia, but you have a good relationship with Sheffield and a good relationship with Warwick, two of the country's finest universities, so you seem quite deeply engaged.

  Mr Manahan: We do, I suppose, in those two instances. The only thing we have done with Warwick is give them a car, to be honest, which was not a great deal of hardship for us. We are very keen on our relationship with the AMRC for a number of reasons. They are very good at getting European grant funding for research programmes. They do not get all of them that they go for, but they have got a better batting average than most, and I think a lot of that comes down to the very excellent work that Professor Keith Ridgeway does. I will give you a small example, if I may. There are new technologies all the time in the carbon fibre world, and you were mentioning earlier on that aerospace is not maybe as fast as motorsport at embracing some of them, but there are things like fibre tape-laying procedures and things like that which are very interesting to people like us. Now, we could never afford a fibre tape-laying machine, but the fact that the AMRC have got together the funding to buy one and allow us industrial time on it is very useful to people like us, otherwise we would not have a chance to look at that ourselves.

  Q202  Chairman: I am going to ask you a question I know the answer to before I ask it, but I must just ask it. Were you aware of an advanced manufacturing facility being established by Advantage West Midlands in the West Midlands area?

  Mr Manahan: Where is it?

  Mr Aylett: It is in Coventry.

  Q203  Chairman: It is in Coventry, is it not?

  Mr Aylett: I was going to ask that too!

  Q204  Chairman: The Government has just given a big grant to enable the establishment of the advanced manufacturing facility in Coventry, which seems to be doing the same thing as Sheffield is already doing, to me, but that is what I have heard already.

  Mr Manahan: The answer to the question is no, I was not.

  Q205  Chairman: Thank you, you are giving the answer I expected.

  Mr Manahan: I hope it is successful because that would be good news. Is there a danger that it is going to duplicate effort? That is the question.

  Chairman: That is the question I was asking myself, yes, and that is something we will need to reflect on, absolutely, yes, exactly.

  Q206  Mr Clapham: Before I look at innovation, just coming back to the education scene and what was said about Sheffield and the factory of the future, it seems that what Sheffield have got is putting together, as you said, things that are relevant. It is looking at, for example, the aerospace industry as well as the motorsport industry and it seems to be that kind of ingredient that makes it very relevant particularly to your industry, Mr Manahan.

  Mr Manahan: Absolutely. The fact that we can be sitting round the same table as Boeing is useful, though, I have to say, we have not done any business with Boeing yet, but hope springs eternal, with the factory of the future concept and the kinds of things that we can get involved with and the kinds of technologies we will have access to. I will give you another small piece of relevance, if you like, as an example. We won the Watchkeeper airframe programme, so we manufacture and supply the Watchkeeper airframe to U-TacS, which is Thales and Silver Arrow, for the UK's medium-range tactical UAV. Now, there are something like 350 metallic parts on each airframe that we make and we place the order for those parts through the AMRC with one of their constituent metalwork entities that were set up for aerospace-grade metalwork parts. That is just one good example of how they have helped two of their entities to do good business with each other.

  Q207  Mr Clapham: And of course the sort of transfer of innovation between the two industries that we are talking about. I do not think that we could over-emphasise the importance of innovation to the motorsport industry, but how do we sustain the momentum of innovation, particularly as we are coming out of a period of recession?

  Mr Aylett: This is one of those things that, as I am in an innovative industry, you are in the woods, looking out rather more than talking to my friends who are looking in, saying, "How do you maintain that innovation?" so I can only speak on behalf of motorsport. They retain this innovation through competition, aggressive, dynamic, hourly, daily, weekly competition for which they are instantly rewarded either down at the pub with a good story because they won or financially because someone has paid them for winning, but they get an instant reward. I am a passionate believer that there is one area of massive hidden value in this industry and that is the exploitation of IP. If you ever want to have some fun and check out with the Patent Office how few patents have been lodged by British motorsport companies over 50 years, you will be aghast because they spend 30% of their sales revenue, which is twice the pharmaceutical average, on R&D and yet they patent virtually nothing.

  Q208  Chairman: Because, by the time they patent it, it will have been taken.

  Mr Aylett: Well, they have found a better way of exploiting than the IP mechanism. Our frustration is that it sits there as this untapped power for Britain that could take it into so many areas, but they are in such a competitive, innovative chase that they put it under the bench, and these are their own words, and they will come back to it one day. As one of the team members said to me, "Chris, your concept of IP exploitation and this royalty business and this publishing it and advertising it and so on, if I just win the race this weekend, I get $10 million. Isn't that exploitation?" and, as he flew past me in his jet, I thought maybe he does understand the exploitation of IP better than I do! Nevertheless, Britain, if we could ever engage correctly with our national government, this has to be statistically one of the most amazing values that has yet to be taken. We got a little grant from MDUK. We came up with a scheme three years or four years ago where we took 30 companies from Britain's motorsport industry and took them through an innovative IP exercise, and they were our role models. We found these guinea pigs and they signed up, and there was a Formula One team and so on and we got enough money from MDUK to take them through an IP process so that someone like Lola or Williams, it did not hurt, made some money and it happened. Sadly, MDUK, after the first year when they had attracted 120 companies, pulled the plug and said that was it. We had already stimulated the interest and then it just stopped. I can tell you, having stayed in touch with those companies, that none of them went forward with any exploitation at all because they just needed that guide, they just needed the book at the end of the journey to say, "It worked, you know, and we carried on winning races because the real concern is that, if we faf around with these things called "IP exploitation" or whatever, just imagine if we are beaten on the race track, and the only defence we have for our sponsor is, "But we're filling in our patent application forms right now", which would not go very well. In terms of innovation, I have to bring it to you all, there was a super article in the Sunday Times this week, when I was with people from X-Prize in America. This business about revolution through competition, I recommend you look at the X-Prize in America where they have put up a prize, do you remember, for this driverless vehicle. Audi are now going to go into this motorsport competition, Pikes Peak, one of the world's most complicated rallies with a driverless car two years after being involved in that competition, which they failed to win, by the way. I think they lost their car and it is still driving round the desert, but they had a go. Just recognise that competition is a great driver for innovation, and they do not cost vast quantities of money, these are $1 million/$½ million, and they just pack innovation into competition because it is what people enjoy, innovators actually enjoy, and they are unique innovators, they are aggressively competitive people and they are very rarely passive.

  Mr Hilton: They certainly would not want to share it for the next season though, would they!

  Mr Aylett: Not in motorsport terms, but nevertheless, it is innovation through competition and the encouragement of competition in X-Prize. Virgin Galactic came out of an X-Prize. That whole programme has come out of attacking an X-Prize. Now, Britain would not aggressively attack innovation. Bleriot flew the Channel for a Daily Express prize; it has been going on a fair while.

  Mr Manahan: Survival drives innovation too, and innovation and rapid response has been the vehicle by which we have certainly found success in the defence and aerospace field.

  Q209  Mr Clapham: So we have got the two ingredients of competition and survival, but we have just gone through a very difficult period and we are just emerging and, given that we were talking earlier about the way in which competitors, like the Malaysians, are breathing down our necks, as we move out of the recession, is there sufficient momentum there to get us back to the kind of innovation that is going to keep us in the lead?

  Mr Manahan: I have not seen any evidence that we are moving out of recession.

  Q210  Mr Clapham: Well, there is some evidence that things are beginning to get a little bit better and, okay, some of our competitors may have moved a little bit quicker than we have out of the current situation, but it is so important that we keep that innovation and, as we move forward, we need to see that the momentum is there. Do you feel that there is such vigour there that we can maintain the momentum as we move forward from the recession?

  Mr Aylett: No, and I honestly hear more words spoken about innovation than action and it is a very easy word to throw around. You need to sit in a room of innovators to realise how dynamic, aggressive and fast-moving they are. You reminded me that there is a good lesson there, that delivery in a period of time is innovation in itself. I feel that we have read about innovation and we have talked about innovation, but I do not think we are as vigorously pursuing it as we should, and we are talking nationally now. We are human beings as well as running governing bodies and so on and I do not feel an air of vigour in innovation. I was encouraged by the recent change in the R&D tax credits which sounded a little bit of support to help people, but to say that was vigorous support would be generous. It is clever and it is useful and in fact I think the whole R&D tax credit programme was good, and in fact our industry has prospered from it, profited from it and innovated because of it, so it has worked, but to suggest that the word "vigour" comes to mind, not necessarily and it is vigorous opportunity, as I say, where prize awards or something to capture the imagination could work.

  Q211  Mr Clapham: So how do we do it? Does it need a national plan? You have talked about the ingredients of competition and survival, but those are within a framework, shall we say, so is a national plan necessary for the motorsport industry so that we get competition and we get survival within that framework driving this forward?

  Mr Aylett: I think that, if you go back to the letter of 2001, that was an integral part of DTI saying, "These are the most innovative people. If only we could capture how they are so innovative, our advanced engineering community", and that was 10 years ago nearly, "would be better off to understand how they do it, what they are doing and how Lola is able to respond so much more quickly than someone who doesn't have that motorsport heritage". We do not have the time to study ourselves, nor the money as a sector, but there are clearly lessons that it could utilise.

  Mr Hilton: I think that the competition is more at a world level. The French plans, which seem to have gone on hold at the moment, to build a motorsport centre outside Paris, that is trying to create a whole halo effect to draw the engineering into France away from the UK, so I think that is the challenge and it is a world challenge rather than UK.

  Mr Aylett: Professor Porter of Harvard was very keen to point out that Britain's success was on a global scale in this particular sector, and not in many other sectors do we succeed on a global scale, but we step up every weekend and put our necks on the line. If I may say, it is a sad demise of Toyota's Cologne exercise, but the Japanese decided that they would invest outside Motor Sport Valley UK—but billions of dollars later when they have not won anything. In an engineering competition, if you like, the Scrapheap Challenge every weekend on television, they have had a fair go at it and they have retired hurt. We are good at it and really we should know more about it, recognise it on a global scale and then we would have an innovation plan. I am kind of surprised that we are not doing that with the Technology Strategy Board, if I am honest, but, as I have not engaged very closely with them, I am not too sure what we are meant to be doing with them.

  Q212  Mr Clapham: A little earlier, Mr Aylett, you mentioned the tax credit system. What would be the impact, for example, if the tax credit system were to be stopped? What would be the impact on the industry?

  Mr Aylett: Well, it is strange, but, when we had our day in Parliament this summer and I wandered around with my friends from Lola and all the others, I do not want to exaggerate, but they said that it would be a disaster, and that is in a relatively short time since, and we had been very proactive working with the Treasury on some of the wording to make sure it helped the sector and then promoted it like hell because it is made for us. Almost every one of our large and small companies is involved in some way. I was trying to get a kind of league table from the Treasury, saying how good are the sectors at claiming the tax credits because I have a feeling that we will be in the premier league of claiming tax credits in terms of R&D. There were many instances reported to the ministers that we met on that day, specific instances where, had we not received the credit for that, we would not have done that, we would not have been able to do that. There were small companies, and I remember one chap who said, "Well, I got £40,000 and that enabled me to buy a design engineer to get to work on a project", which was exactly the concept of the tax credit, and you can ask me for specifics and I could go and get specifics, but they are legion in just three years, so it would be very, very damaging to our competitive position.

  Q213  Mr Clapham: The tax credit system is not due to be evaluated anyway before 2014. Has there been any particular announcement for the cause of the rumour that the Government may be looking to drop the system?

  Mr Aylett: I think it was just rumour at the pub, I suppose, that you could put it down to, I do not know. A change in government would be an opportunity to change the bed linen and R&D tax credits may not be there. I could not be more delighted if I were proved incorrect. Certainly we were robustly interrogated by Kenneth Clarke on this matter and you could gain from his robustness that he was not entirely enamoured with the tax credit system. I think he was hinting towards some abuse by larger companies rather more than the smaller companies, "abuse" is probably too strong a word, where the larger companies would be doing it anyway and it is the smaller companies that we are trying to promote, but that was a hint in a conversation that might have led to a large company saying, "I think they're going to knock this on the head", and that is how we wandered away, as I said, to the infamous pub and we said, "Maybe that's where the story comes from".

  Mr Manahan: I was at a dinner with Kenneth Clarke not too long ago and it was more than just a robust hint.

  Mr Aylett: It is obviously developing!

  Mr Manahan: It was a robust hint with a great big torpedo with a JCB behind it. He left us in no uncertain terms that R&D tax credits were going to be going in the event of a Conservative Government, which is disappointing from my point of view.

  Mr Clapham: Well, having heard what has been said, Chairman, I think we have got to make sure that they do continue and we have got to emphasise it.

  Chairman: The Committee will make recommendations on this subject before the election and whoever wins it will listen to our recommendations, I am sure. We are entering the final lap, you will be pleased to hear, and we have negotiated more chicanes getting here than I expected and we are running a little bit longer than I expected.

  Q214  Lembit Öpik: There is just one question which I have always wondered about in terms of innovation. The industry sets quite specific regulations in terms of what you can do to your cars and limits everything, I guess, from fuel tanks to everything else. Does that stifle innovation? Does that stop development or is it specifically because it enhances innovation and development that you have those regulations?

  Mr Hilton: It is really to try and get fair play. If you have got a sport, why you have a governing body is to provide rules which are common rules which everybody uses, fair play. If you look at innovation as far as perhaps the environment is concerned, certainly we have changed our regulations that we will accept any alternative fuels as long as they can be used in a fair competition, so we do what we can not to stop innovation, but we have to have rules and you change the rules as you go along.

  Mr Aylett: So speaks the legislator! I have to say, actually the legislator, and I saw you shaking your head, has been the most stimulating for innovation absolutely because the envelope of the engineer is then defined. Our guys go right to the edge of the envelope and, when they can get away with it with the legislator, they test their innovation by just stepping beyond, but, if you had no boundary, then it would be difficult to know where the effort has to go, so we have investigated that until I am blue in the face because I was, rather like yourself, saying, "Is it good or is it bad?" In actual fact, to say that we will allow kinetic energy recovery from wheels, and not much more than that, within two years they have created kinetic energy recovery systems that they are now exporting around the world.

  Q215  Lembit Öpik: So you actually feel that what you are doing, that the actual limitations or the defined envelope is the best way to create innovation that can then be reapplied in the commercial sense?

  Mr Hilton: Some of it is controlling costs as well because certain teams of innovators will spend every penny they have got to win and it is not good for the sport for millions and millions being spent just to win, so you restrict the materials being used, you restrict titanium and magnesium.

  Mr Aylett: But then we find ways we can make better materials to get around the regulations.

  Q216  Chairman: I said to you at the beginning do not agree with each other, but I sense that Mr Manahan is just boiling up to say something.

  Mr Manahan: Really?

  Q217  Chairman: Are you not? I do not want to cut you off if you are.

  Mr Manahan: I have got a whole engineering staff who do nothing else but dream up new ways to figure out how to make our cars faster within the confines of the new regulations that come out every single year when something comes along. I remember even as a boy, before I started working at all, being absolutely amazed at how in motorsport each year somebody would come out with a new regulation which would apparently make the cars slower, and one or two years later lap records would fall, and I thought to myself, "Blimey! There's your innovation right there". It is the halo effect of that motorsport brilliance in innovation that has not made us attractive to other industries, such as the defence and aerospace people who design by committee. Our offering in to them has been a breath of fresh air and it has made us hugely attractive and very successful in getting things out, and I am probably getting a bit carried away here, but I believe very strongly in supporting our troops on the ground and we get solutions to them faster than anyone else. The big boys of British Aerospace and Thales, et cetera, et cetera, have seen that now and some of the things that we have done and some of the things that we have achieved I am particularly proud that we have done, and we have delivered real benefit to them in theatre.

  Mr Aylett: And those deliveries actually are weeks, days. I will not bore you because we are running out of lap time here, but in terms of helping people on the ground in Afghanistan and so on, motorsport innovation has delivered solutions in days that would take months, so say the guys on the ground.

  Q218  Chairman: We are in danger of going over familiar territory again. You mentioned fresh air and that brings me to the last of the questions on carbon dioxide, being desperate for a link! I will try and wrap this up into one question, if I can. You, I think, the MIA, said in your submission that the Government has failed to engage with the industry on low-carbon technologies. We have heard concerns expressed that the Government has distanced itself completely from Formula One and high-end stuff because it is instinctively "ungreen", it is quite the antithesis of the agenda. We have also heard that actually the engagement between motorsport and the automotive sector is declining because performance is not the game in town for the automotive sector now and actually it is fuel economy, it is those issues which, although they are important, given the tank restrictions you are facing, it is more about performance and that is more aerospace, so what can you do for carbon? Is the Government disengaging because it feels you are not really green?

  Mr Aylett: Your legislation has helped, and that is an interesting starting point.

  Mr Hilton: As the regulator, the FIA set up more than two decades ago an alternative fuels commission to investigate where we could go as a sport. After 20 years, they had realised that it is not about alternative energy, it is about sustainability. It is a bigger thing than just the fuel we burn or the energy that we burn, it is about noise, it is about the use of tyres, it is about the environment, the damage we may do in the forests. All of these issues affect motorsport, but I think motorsport can be used as a pilot. We can very quickly, very rapidly test new ideas through the universities or through the teams, but motorsport will always go where the manufacturers go because it is this 5% on the top which are the single-seaters, the Formula Ones and the F3s and they are not road cars, but the rest of motorsport operates off road cars, so we are really driven by the automotive industry. People are using road cars and modifying road cars for motorsport, so we will never go in a different direction from the motor industry. We will always follow the motor industry because 95% of the vehicles used in motorsport are road cars, modified road cars, so I think let us use motorsport as a pilot as a rapid way to test new technologies, but that is a personal opinion.

  Mr Dickison: I think certainly in terms of the green environment, concerns that sports cars, race cars, everyday cars, it is not just a question of changing to say, "We're going to have all-electric cars now", but it is getting weight out of the vehicles as well and that is highly relevant to motorsport and it is also highly relevant to aerospace as well, so we see more and more applications where people are trying to get relatively low-cost motorsport vehicles and indeed niche vehicles using exotic materials. Up until now, it has been, "Well, the materials are just too expensive, there's no point even thinking about it", but of course, as time goes on and as people realise they need to find a solution, the innovation comes out. For example, with carbon fibre, it has always been a very labour-intensive process actually making things out of carbon fibre, it has been an expensive material, and it has just been disregarded, "Oh leave that for the top-end cars", but of course now processes are coming into place where you can actually make very lightweight structures at a far lower cost, especially if the volumes are going up, so I think that there is a lot of connection there with the environmental green issues and with motorsport and not just Formula One, but dropping right down to track day cars and things like that.

  Mr Aylett: Again, if I may say, going back to my original halcyon days of DTI relationships, the DTI saw a national opportunity that we put to them. I wrote a paper to the industry, saying, "What future is there for motorsport in an energy-efficient world?" and the cumulative opinion was very little, and this was in 2000. Now, that meant that there was no strategy to cope with an inevitability, so it gave an opportunity for the MIA. We went to the DTI and said, "Would you like to fund some research into this because there is a good opportunity here?" and they did. We ran an investigation for a year, 80 engineers from motorsport, tree-huggers to the left, space cadets to the right.

  Q219  Chairman: Where was Jeremy Clarkson!

  Mr Aylett: To be honest with you, it was very interesting. En route, we discovered many things and the most important thing I would love the Committee to know is that we uncovered the fact that, since the very first race, at the heart of motorsport has been the efficient use of energy. If I may say, Mr Chairman, you were incorrect and it is not high performance in terms of speed, it is the efficient use of energy. They were only doing 30 miles per hour all those years ago, but they were using their block of energy, which could have been steam in those days or it could have been gasoline or it could have been diesel, ethanol or methanol, but they just used it efficiently and they used it by great aerodynamics. They did not know there were aerodynamics in those days, but they put a pointed bit on the front and a square bit on the back and it went a bit quicker, and they did it with lightweight materials, they did it with better use of tyres and grip. This group uncovered that actually in Britain, if you believe that the motorsport industry is a jewel in the crown, as Porter did and does, then you would utilise the fact that you have over the last 100 years created the world's greatest pool of engineers, skilled in the efficient use of energy, and it was a most fabulous revelation for us as an industry. Now, they could not care less, that was the sad fact, because they just wanted to race and beat someone and, when we said, "You have an asset that's going to be valuable to Britain because they will want to know how we efficiently use energy", they said, "Well, call us when it happens and maybe we'll sell a bit of that knowledge". Of course, the date it would happen would be when the cost of energy made it interesting to people to try and save energy, so it was related to that. Hidden in there, we put forward this paper on energy-efficient motorsport and created the brand of energy-efficient motorsport and, I have to say, and Colin and I go back long enough, we were ridiculed to some degree. It was not instantly understood because how could motorsport be energy-efficient, but in fact it was inherently anyway and it was almost just a branding exercise. Since then, the most important thing that came out of it, whether we are at the forefront of the changes, the one thing that we can do, and Lord Drayson has spoken on this just now, as a passionate convert to this particular line, winning in motorsport actually makes energy efficiency cool. If you can win Le Mans in an energy-efficient manner, as Audi did, you will definitely do so. If 100 years of cars on the forecourts have been sold by winning in motorsport, then clearly, if you win in an electric car, then you will make the public aware of the fact that, "Actually, that is quite a cool solution, I could buy one of those". We found, and it sounds so obvious now, that actually you can utilise the power of the motorsport brand to make energy efficiency cool. Audi seized on it immediately and used their bio-ethanols, diesel first of all and then second-generation diesel, and a very proud story, a very short one: Shell were dismissive on first being approached by Audi with their diesel and after just 18 months, they said, "You'll be wrong. If they win, everybody will want it. Every green person, and every minute that we speak there are more people interested in it, they will be interested in this". They have set up a second-generation biofuel plant in Germany, and at one of my conferences which have consistently been supported by UK Trade & Investment, I have to say, and we run conferences all over the world on this thing, they said, "The first drop of second-generation biofuel from that car will go straight to win Le Mans. We won't argue it anymore. If we can win Le Mans with our second-generation biofuel", this is Shell, "then we know that the public will buy it", so within two years/two and a half years, the power of motorsport can change the public's attitude. In fact we have a conference in January on this very subject and in the time that the Automotive Innovation and Growth Team has been meeting, motorsport has actually delivered and raced hybrid electric cars, delivered and raced fully electric motorcycles at the Isle of Man TT. We are doers and deliverers, not visionaries, and the asset that Britain has in having this group of doers in the world of energy efficiency is an unbelievable asset, but we have to engage with someone who wants to listen.

  Mr Manahan: I was going to mention quite a few of the things that Chris has just done as a test-bed, as a test-platform and as an advert for new technologies, and endurance racing, in particular, I think, is fantastic and I really liked Chris's view that the most efficient use of a block of energy wins you a race, and that is a very interesting way of putting it as well. Going a little bit off the point or a little bit off-track in terms of Lola, we are really a composites engineering company that happens to make motorcars, race cars, as well as making things like UAVs, and one green area that we have contributed to, if I could say, is that a lot of civil aircraft now are going composite for weight purposes and obviously a much more fuel-efficient product, so we have the ability to work with the aerospace companies, such as Bombardier on the C-series aircraft and hopefully some of the other people like Boeing, in terms of manufacturing composite product for aircraft which will be more fuel-efficient. I totally believe in what Mike was saying, that in the future, with the new production techniques that are coming into carbon fibre technology and some very interesting technologies which I cannot go into for confidential reasons that we are working with some of the automotive OEMs, there is a very, very good possibility that future chassis development is going to get lighter and stronger, which is going to be fuel-efficient anyway or will certainly aid fuel efficiency, and all of that is born from our motor-racing development heritage.

  Mr Aylett: Just 18 months ago, because I know Lembit is a motorcycle rider, a British entrepreneur approached us to say, "I'm going to run the world's first zero-emission motorsport race", and I laughed at him, no joke, I ridiculed him. Just 12 months later, they ran at the Isle of Man TT a zero-emission Grand Prix. All British entrepreneurialism, absolutely classic motorsport, all the rules said they could not do it and they did it and actually they are pretty close to the performance of a 125cc bike, which, I would just remind us, is the world's biggest-selling category of bike to the Chinese and the Indians, so in actual fact this British entrepreneur has at his fingertips the chance of turning the British motorcycle industry and becoming leaders in zero-emission motorcycles using motorsport to sell back to the Indians and the Chinese. He entered into a contract or an agreement with the world governing body of motorcycling to take it and almost instantly they embraced him, put him on a panel and have launched the World Championships. Sadly, right now, there is now a dispute because they have decided to run a competition against him, so British entrepreneurialism is now being attacked by the international governing body and he needs our help. UKTI, and I will just underline this, were the first people in Government who put money into that project and helped him to go around the world to go and capture the teams that delivered the Isle of Man that zero-emission possibility of a motorcycle industry born to sell abroad, and it is the speed, that is 18 months from someone getting the idea; pretty revolutionary.

  Q220  Chairman: Your enthusiasm for your subject has led us to go on much longer than I intended.

  Mr Aylett: Sorry.

  Chairman: No, I am very pleased, it is very interesting. I think one of the questions we will ask the Minister is: how come, if we are so brilliant in innovation in the automotive sector in motorsport, have we got so little R&D outside the premium brand sector and the UK for the automotive sector in general? We are not very good at transferring these skills across, clearly. It has been a fascinating session and we are very grateful to you. It is frustrating that we have to draw this to a conclusion and, if there are things you want to tell us in writing afterwards, we would like to hear from you, but we really do appreciate the trouble you have gone to. Thank you very much indeed, gentlemen.


 
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