Vauxhall plant in Luton set to close putting more than 1,000 jobs at risk

The move will put more than 1,000 jobs at risk as Stellantis, which owns Vauxhall, said it plans to shift production to its Ellesmere Port plant as part of a £50million investment.

The site on Kimpton Road was due to become the second site in the country to manufacture Vauxhall's electric vehicles

But Stellantis said in June that it could be forced to close plants if government rules on electric vehicles were not relaxed.

A consultation has now begun with employees and union partners to transfer operations to the Cheshire site and potentially relocate ‘hundreds’ of workers.

MP for Luton South and South Bedfordshire Rachel Hopkins said the move was “deeply troubling” for the town.

In a statement released today Stallantis said: “Whilst strengthening Ellesmere Port as its sustainable LCV hub in the UK with the transfer of Luton operations, Stellantis remains committed to acting responsibly toward its employees in Luton and, if the company proposal is approved, will offer relocation support to facilitate employees wishing to transfer to the Ellesmere Port site with an attractive package, where hundreds of permanent jobs will be created.

"Dedicated comprehensive job support, including opportunities for retraining, for all employees affected will also be implemented in the very active Luton area, just one mile from the international airport. At the same time, Stellantis will work with local government and local employers to identify new employment opportunities within the Luton area for Stellantis employees who might be impacted by this proposal if it goes ahead.”

Rachel Hopkins MP said: “Today’s announcement from Stellantis is deeply troubling for our town.

“I am committed to working with the UK Government, Stellantis, and Unite the Union in securing the best solution for Luton and our highly skilled workforce. Luton depends on these high-quality manufacturing jobs to drive local growth and support national prosperity.

“The Vauxhall plant is part of the fabric of Luton’s heritage and vital to our local economy. For over a century, generations of Lutonians have worked there, contributing to the production of vehicles like the Vivaro van. These efforts have created jobs and attracted investment.”

Sarah Owen, Labour Member of Parliament for Luton North, added: "Luton is home to a highly skilled and motivated workforce, so any job losses are a significant blow to our town. Today's announcement from Stellantis is even more troubling given our proud history of manufacturing and deep historical links with the Vauxhall plant.

“I will be working closely with my colleague Rachel Hopkins, and supporting her work with the government, Stellantis and Unite the Union to secure the best solution for Luton's highly skilled workforce and local economy, including for the many Vauxhall plant workers who live in Luton North."

A Government spokesperson said: “While it’s encouraging to see Stellantis investing in the future of its Ellesmere Port plant, we know this will be a concerning time for the families of employees at Luton who may be affected.

“We have a longstanding partnership with Stellantis and we will continue to work closely with them, as well as trade unions and local partners on the next steps of their proposals.

“The government is also backing the wider industry with over £300 million to drive uptake of zero emission vehicles and £2 billion to support the transition of domestic manufacturing.