Family car firm boss James Mylchreest is disappointed that Mitsubishi has frozen new model launches in Europe as part of an overhaul of its global operations to cut costs.

But Mr Mylchreest is remaining upbeat after reports that the Colt Car Company - sole distributor of the brand’s models in the country - will now ’accelerate’ talks it was already having with other car manufacturers.

He told Business News: ’The first thing to say is that there will be no impact on our Mitsubishi customers - the services , parts and whole after-sales operation will continue to be unaffected.

’The only thing they are freezing is the introduction of new models so the current models we have in stock will still be sold and supported fully and that incloudes all warranty and servicing.

’It is worth mentioning that this decision has come from Mitsubishi Motors in Japan.

’The parent company in Japan has to make some substantial cuts to their costs.’

’It is disapponting that we won’t be able to offer customers the new models but we are at least encouraged that we can support customers who have their cars for the foreseeable future.’

Mr Mylchreest said the Colt company was looking at other makes of cars - ’we will just have to wait and see. Obviously we have a relationship with the Colt Car Company.’

He said they have the ’normal level’ of stock at the Millmount, Douglas, company, a number of used cars and used vehicles. Among the current Mitsubishi stock he said the the plug-in Outlander is a ’fantastic car that is very well engineered and of course showing its green credentials as a plug-in hybrid’.

Mr Mylchreest said the service and parts will be unchanged - they would still be able to get current models - this freezing relates to new models that will now be launched in other markets and not Europe.

He said there was always the chance that in the future Mitsubishi might take the decision to reverse the decision.

He described the Mitubishi vehicles as a good brand but they do not account for large volume sales at the family business.

lMeanwhile Mr Mylchreest said he is pleased with the interest shown in renting out their other empty showroom, as recently reported in Business News.

He said ’it’s a great site’ and ’we hope in the not too distant future’ to make a decision about which company will be moving in. A variety of firms have shown an interest.

In January we reported that David Mylchreest has handed over the day-to-day running of Mylchreest Motors to his son James after nearly 40 years at the helm of the business.

Director James took on the role of managing director while his father remains as chairman of the board and a member of the management team.