Taskforce set up to ‘protect Luton’s economy’ after Vauxhall leaves town

Once it became clear Stellantis intended to close the Vauxhall plant, an employment and skills programme was put together promptly for all staff facing redundancy, according to a report to the borough council’s executive.

“Several positive meetings have been held with the new site owner global property and logistics firm Goodman,” said the report.

“The decision to close the plant will have significant economic and social consequences, and will negatively impact both Luton’s and the wider regional economy’s future financial growth ambitions.

“This has directly affected just under 1,200 employees who lost their jobs, as well as many more in the supply chain. Early estimates reveal the Vauxhall closure represents a gross value added loss of more than £300m per annum.

“One of the task force’s key roles will be to manage and mitigate the economic shock. It aims to ensure we protect Luton’s economy, focus on skills and jobs, and appreciate the importance of safeguarding our heritage and educating more young people.”

The task force includes a political cross-section of elected LBC members, government officials and other partners, such as Luton Rising and Goodman.

Council leader and Labour Lewsey councillor Hazel Simmons told the committee: “It was agreed between ourselves and the government to set up this task force to formally manage the economic and social response to the closure of the Vauxhall plant.

“This has been established and we’ve held our first meeting,” she explained. “It responds to the decision by Stellantis to close the manufacturing plant after 120 years in our town.

“The task force will take the leadership role, providing strategic coordination across the social and economic response. This will involve specifically focusing on the economic renewal of the site, with extra skills and training to support affected workers back into employment.

“There are already opportunities emerging, with the recent positive announcement of the development consent order (DCO) for London Luton Airport and approval for an increase to 32m passengers (annually).

“This expansion will bring new jobs and economic growth to our town. The Universal Studios (theme park) has been announced in Bedfordshire. That project could further boost our economy.

“We also have the new 25,000 capacity football stadium opening in our town centre, as well as a strong cultural events programme and live music offer to support the thriving visitor economy.

“These two developments alone will transform our town and reinforce the role Luton plays in the wider regional economy. But those are longer-term projects.

“What we must address with the task force is the short-term and how we can maximise opportunities around what’s happening at a later date,” she added.

“So this task force will focus on the short- and medium-term response to our economy and the workforce, not forgetting the history and heritage of 120 years of car manufacturing in Luton.”

The executive formally approved the Vauxhall Luton task force as an advisory body to the committee.