Workers at MG Rover are to be balloted on industrial action after rejecting the company's pay and conditions offer, unions have announced.

The Transport and General Workers' Union said its members together with those from Amicus and the GMB unions, had voted by an overwhelming majority of 81% to reject the offer from the company in a consultative ballot.

MG Rover had offered its workers a 2.2% increase in the basic rate of pay, an increase of 12 to 18 weeks maternity pay, and a reduction in the criteria for holiday pay.

Unions at MG Rover will now apply for a postal ballot of members on industrial action.

Dave Osborne, T&G national secretary for the car industry said today: "The size of the vote sends a clear message to the board of MG Rover that they are out of touch with the workforce.

"The offer does not address the concerns of our members, particularly on sick pay provision, and we hope that in the light of the massive vote of rejection the company come back to the unions with an improvement."