FEARS that Government proposals to limit immigration could disrupt the development of Nissan’s electric battery facility has prompted the North-East car maker to join calls for a rethink on the controversial law change.

The Coalition has been attacked by business leaders and politicians, including Business Secretary Vince Cable, for introducing the draft legislation which comes into force in April, seeking to cap the number of non-EU workers entering the UK.

Mr Cable is among a number of senior Government figures who have voiced concerns that the scheme, which aims to protect British jobs, could have the opposite effect if it prevents specialist workers bringing skills into the country.

Mark Prisk, Minister for Business and Enterprise, this week threw his weight behind demands for the automotive industry to receive exemption from the legislation.

Short-term work placements, known as Inter Company Transfers (ICTs), are common practice within car manufacturers, enabling the likes of Nissan to exchange expertise between its Japanese and UK workforce. Nissan is concerned that, if the legislation fails to take account of the positive impact such transfers offer the UK economy, it could threaten the development of its battery plant – set to create hundreds of jobs in the North-East.

A company spokesperson called on the Government to protect ICTs or risk firms withdrawing investment from the UK, saying: “The electric vehicle battery facility currently under construction at Nissan’s Sunderland plant relies heavily on knowledge gathered through reciprocal visits between UK and Japanese engineers.

“Capping ICT figures would hamper this kind of development and send the wrong message to global business looking to invest in the UK.”

Speaking at the Paris Motor Show this week, where Nissan unveiled the Townpod – the newest edition to its range of electric vehicles – Mr Prisk outlined his determination to persuade the Home Office that the car industry should be protected from the immigration cap.

He said: “We do not want the immigration cap to be a brake on the automotive industry in this country.

“We are looking at how the rules would work for the number of non-EU technical staff per company.”