After fears that the capital could be heaved as part of an assessment into spending, the British Prime Minister, David Cameron said on Wednesday that the Japanese-owned Nissan car plant had been granted permission in northern England to go forward.

Conservative leader Cameron told the parliament "That money will be going ahead, that investment will be going in”.

The coalition Government had said that it would endeavor to wedge all expenditure obligations signed off this year.

As the Government scuffled to bring down a record finances dearth, Cameron last week, had said that though he wanted to electric cars to be built in Britain but was unsure if the 20 million pound, assured by the previous Labor Government, would be granted.

Making Britain the third universal construction spot for the zero-emission vehicle, Nissan had said in March that it was willing to start building, the Leaf electric compact car, at its Sunderland plant in northeast England, early on 2013.