Vauxhall shuts massive factory with 1,100 jobs at risk and ‘huge impact’ on UK town
Up to 1,100 jobs are thought to be at risk after a Vauxhall van factory announced production would come to an end, having a “huge impact” on the UK town where it is based.
It was announced in November that production at Vauxhall’s plant in Luton will come to an end after 120 years of being based in the Bedfordshire town. Parent company Stellantis said production of electric vans would be moved to Ellesmere Port, in Cheshire. The last Vauxhall Vivaro came off the production line at about 12:18pm today. It is estimated that more than 1,000 jobs are at risk following the announcement of the move.
Stallantis said it would invest about £50 million in order to “strengthen the Ellesmere Port plant as its UK commercial vehicle hub.” A worker too upset to be named told the BBC it was the “end of an era.”
Hazel Simmons, the Labour leader of Luton Council, told The Sun: “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.
“It’s not just them who are affected. This will impact the whole town. With job losses at the plant as well as the wider supply chain, it will have a huge impact on the local economy, but we will recover from this.”
A Stellantis spokesperson told the BBC: “Our employees always remain our priority, and we continue to act responsibly towards our colleagues in Luton.”
Employee Steve Brown said he had mixed emotions after working for the company for more than 34 years, adding it was a “sad, sad day,” although he said the atmosphere in the plant had been “excellent.”
“I’ve done 34 years, but life goes on, we’ll go on,” he told the outlet. “The people and the company, we’ve had some great times and it’s been great.”
Vauxhall started making cars in 1903 and moved a plant to Luton two years later. Previous owners General Motors announced in 2000 it would close the car factory in Luton and it was shut two years later with 1,900 jobs being cut.
Luton Borough Council had previously expressed an interest in buying the site where the factory is based. But it said no attempts had been successful, according to the BBC.
This comes as high street brands including WHSmith, Poundland and Sports Direct are set to close dozens of stores collectively within the next few weeks, in another major blow for shoppers. WHSmith has been slowly closing shops over the past few months.
But this week it was announced the struggling books and stationery retailer has agreed to sell its 480 UK high street chain to investment firm Modella Capital in a deal valuing £76million. The stores will eventually rebrand as TGJones – meaning the WHSmith name will disappear after 233 years from town centres.
However, it will keep hold of its travel stores in airports and train stations and these will continue to operate under the WHSmith brand. Meanwhile, Poundland has hired advisory firm Teneo to oversee a sale of its business. Sources told The Telegraph that a number of the 825 stores owned by Poundland could be closed if the chain is sold.
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