News, Bedfordshire
The owner of Vauxhall has told staff it will close its van-making factory in Luton in April.
Stellantis announced it would shut the site, which has been making vehicles since 1905, in November as it planned to move its electric van production to its other UK plant in Ellesmere Port, Cheshire.
After work ceases in Luton, machinery will be transferred to Ellesmere Port and production on Vauxhall’s medium all-electric vans will commence in 2026.
The Labour leader of Luton Council, Hazel Simmons, described it as a “devastating blow to Luton and the livelihood of the workers”.
She said: “Vauxhall has been an integral part of Luton’s heritage for decades.
“We did what we could to try and stop this closure going ahead and I feel angry that this decision will massively impact the lives of so many people.”
Stellantis, which also owns Citroen, Peugeot and Fiat, previously said rules imposed to speed up the transition to electric vehicles (EVs) in the UK had partly driven its decision.
Current rules state that EVs must make up 22% of a manufacturer’s car sales this year, and 10% of van sales.
In December the government called for the car firm to review its plans to close the factory.
Business Secretary Jonathan Reynolds wrote to the company asking for it “pause” redundancies to enable more time for discussions “about options to keep the plant open”.
Responding to reports the site would close in April he said: “This news will be deeply concerning for the employees at Luton who will be affected and their families.
“We will continue to work closely with [Stellantis], the trade unions and Luton Council to put in place measures to support the local community.”
Stellantis said it would invest £50m in the Ellesmere Port plant as it became the firm’s UK commercial vehicle hub.
It said employees affected by job losses would receive support including financial aid, retraining and wellness sessions.
In a statement, it said: “The required consultation period with Unite the Union, which has been detailed and constructive, has now finished and we are engaging with all interested parties to ensure that the employees have the best possible advice for their future.
“These employees are our priority and we will continue to act responsibly towards those in Luton.”
