Vauxhall Luton: Council 'extremely disappointed and angry' as Stellantis confirms 'heartbreaking' closure of factory

Stellantis announced its plans to close the Kimpton Road site in November, with Luton’s two MPs vowing to help protect the 1,100 jobs at the factory.

The business revealed its latest plans to move production to its Ellesmere Port plant as part of a £50 million investment.

A date has not been finalised for the closure, but it will start to happen in ‘quarter two’ of this year (April, May and June). The manufacturer had blamed the Government's zero emission vehicle rules over its decision. Under the EV mandate, carmakers must meet legally-binding targets for the sale of electric vehicles.

A spokesperson for Stellantis said: “Stellantis confirms its plan to invest £50 million to strengthen the Ellesmere Port plant as its UK commercial vehicle hub, demonstrating both its commitment and long-term sustainability to UK production.

"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.

“Production will cease in Luton in Q2 2025, with a period of transforming and transferring machinery and process knowledge to Ellesmere Port. Production of the group’s medium all-electric LCV range (eK0) in Ellesmere Port will commence in Q4 2026.”

Luton Borough Council said it is “extremely disappointed and angry at Stellantis’ decision to close Luton’s Vauxhall plant after numerous options put forward to keep the plant open were rejected.”

The council explained that it had worked closely with the trade unions, MPs and government to offer “what they all believed were viable ways to save the plant and the jobs”.

A spokesperson said: “The closure of the plant will result in substantial economic losses, including job cuts, and reduced consumer spending. That is why the council worked hard, alongside trade unions and Government departments to try and save the plant.”

Cllr Hazel Simmons MBE, Leader of Luton Council called this “heartbreaking news and a devastating blow to Luton and the livelihood of the workers”.

She explained: “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.

“This is news the workers and their families would have been dreading to hear and we want them to know we are behind them and will support them all we can.”

Despite the “huge impact” this will have on the town’s economy, Cllr Simmons said: “We will recover from this”.

The council says it is in discussions with Stellantis to explore possibilities to buy the site. The Luton News has contacted LBC for further information.

Meanwhile Business and Trade Secretary Jonathan Reynolds said: "This news will be deeply concerning for the employees at Luton who will be affected and their families.

“We have a longstanding partnership with Stellantis and have engaged with them extensively throughout this process, including discussions over the past week and today. We will continue to work closely with them, the trade unions and Luton council to put in place measures to support the local community.”

Unions and the Business Secretary had met with Stellantis to discuss the future of the factory, which has been open for 120 years this year.

Despite numerous talks between the parties, Stellantis confirmed that its November plans would go ahead.

The spokesperson added: "These employees are our priority and we will continue to act responsibly towards those in Luton. Our focus will now be to work closely with the Trade Union to support employees who may be impacted.

"This will include financial support, relocation support for those who wish to transition to Ellesmere Port and onsite support activities, such as job fairs, CV writing, retraining support and wellness sessions.”