Vauxhall safeguards 1,000 jobs with new £100m plan to build electric vans at its Ellesmere Port plant in fresh post-Brexit boost
- Company had been reviewing its options for the Cheshire site including closure
- Believed to have sought financial incentives from the Government to help
- Up to 7,000 workers in the supply chain rely on the plant for their livelihoods
Vauxhall has safeguarded thousands of jobs with its new £100million plan to build electric vans at its Ellesmere Port plant in a post-Brexit boost.
Stellantis, the parent company of Vauxhall Motors, had been reviewing its options for the Cheshire site, which included using it to build electric cars or possible closure.
The future of the plant had been questioned after Stellantis announced the new Astra model would not be built there.
But the firm today confirmed investment in the site and safeguarding of manufacturing jobs.
The company is believed to have been seeking financial incentives from the Government to begin production of an electric model.
Up to 7,000 workers in the supply chain rely on the plant for their livelihoods, according to union Unite.
Stellantis, the parent company of Vauxhall Motors, had been reviewing its options for the Cheshire site, which included using it to build electric cars or possible closure. Pictured: Managing director Paul Willcox makes the announcement at Ellesmere Port today
Up to 7,000 workers (pictured: Vauxhall staff) in the supply chain rely on the plant for their livelihoods, according to union Unite
Japanese carmaker Nissan recently announced an expansion of electric vehicle production at its car plant in Sunderland, which will create 1,650 jobs.
Head of Stellantis, Carlos Tavares, had previously warned that the company’s decision on whether it would make electric vehicles would depend on the Government’s support.
He told the BBC: ‘Performance is always the trigger for sustainability and this £100m investment demonstrates our commitment to the UK and to Ellesmere Port.’
Van sales have skyrocketed amid the pandemic because various lockdowns have resulted in booming home delivery sales.
Head of Stellantis, Carlos Tavares, had previously warned that the company’s decision on whether it would make electric vehicles would depend on the Government’s support
And Vauxhall is keen to move to electric vehicles because the UK is banning the sale of new petrol and diesel cars from 2030.
However, an economist at Birmingham Business School said this morning that he feared Vauxhall’s plans would act as a short-term fix.
Professor David Bailey told the Today programme: ‘There is there is no battery plant being built in the UK… so if batteries are being brought in from France and elsewhere, that’s going to add to costs and it’s going leave Ellesmere Port as a relatively high-cost location.’