The booming automotive industry makes a massive contribution to the economy but requires more government support, MPs have warned.

Ministers should help the banking industry build relations with manufacturers, so that they understand the automotive sector and are able to provide much-needed financing, MPs said.

Government departments and public services should also be more willing to buy British-made cars instead of vehicles made overseas, particularly those using "green" technology.

The recommendations were made in a report by the All-Party Parliamentary Motor Group, which is chaired by Birmingham MP Richard Burden (Lab Northfield). Solihull MP Lorely Burt (Lib Dem) is a vice-chair.

Findings published today follow an inquiry which involved speaking to leading manufacturers including Jaguar Land Rover, which has plants in Birmingham and Solihull.

Over one million vehicles and two million engines are produced in the UK each year, and more than 80 per cent of vehicles manufactured in the UK are exported, the MPs said.

But firms, particularly smaller businesses in the supply chain, which are a key part of the economy in Birmingham and the Black Country, struggle to raise funding when they need to borrow money from banks.

Mr Burden said: "There have been many recent successes but industry and government cannot be complacent. More needs to be done to build on these foundations and set a long-term framework for growth."