Paul Haussauer and a group of engineers from Lotus set up the Clan Motor Company in 1969, building a factory at Washington in County Durham. Their car, the Clan Crusader, went into production in 1971: a compact two-seater with a glass-fibre monocoque body and the rear-mounted engine and running gear of the Hillman Imp, capable of almost 100mph with the 51hp engine.
The Crusader was light, well made and effective in competition, but the company was hit by strikes, the fuel crisis and the introduction of VAT on kit cars, which removed their tax advantage. The factory closed in November 1973 after 315 cars had been built.
In 1982 Peter McCandless set up Clan Cars Ltd at Newtownards in Northern Ireland, building an improved Crusader with disc brakes and pop-up headlights, as well as the mid-engined Clan Clover. Around 120 road cars and 10 competition cars were made before production ended in 1987.