Prime Minister Keir Starmer has been slammed at PMQs this afternoon following the announcement that Vauxhall owner Stellantis will close its Luton plant, potentially leading to the loss of 1,100 jobs.
In a statement yesterday, Stellantis unveiled plans to move electric van production to its other plant in Ellesmere Port, alongside a £50million investment.
Rachel Hopkins, MP for Luton South and South Bedfordshire, questioned whether the Prime Minister could assure that there would be a “cross-departmental response” to support the automotive sector and protect skilled jobs in Luton.
She described the proposed closure of Vauxhall’s Luton plant by Stellantis as “devastating news for our town”, with over 1,000 jobs at risk and “the future prosperity of our town threatened”.
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Keir Starmer acknowledged that the situation in Luton was ‘difficult’
REUTERS/GB NEWS
In response, the Prime Minister said: “Yes, I will and I know and thank her for raising this. It is a difficult and uncertain time for workers in Luton and her constituents and their families.
“That’s why we’re working with the industry. There will in fact be a statement later on today Mr Speaker about this. It’s important we do whatever we can to support these communities.”
Despite this, the leader of the opposition Kemi Badenoch slammed the Prime Minister for a lack of a suitable response to the closure of the Luton plant.
The Conservative MP for North West Essex, said: “The bottom line is that all that he has said, he doesn’t seem to care about the young people who will lose their jobs as a result of his Budget.
“Perhaps, he can show more concern for the 1,100 people who found out yesterday that they could use their jobs at Vauxhall’s plant in Luton.
“So while he flies around making unilateral commitments, back home, the real-world effects of businesses closing in Bedfordshire and Basildon.
“Does the Prime Minister stand by his promise to ban the sale of petrol cars by 2030 even if more jobs will be lost?”
Starmer outlined that the position in Luton was “very serious” and added that the Government was engaged with plant workers who may lose their jobs as part of the Stellantis restructuring.
He continued, saying: “I would remind the leader of the opposition that the EV mandate that is an issue in this particular case was actually introduced by the last Government.
“I would also remind her that she was the Business Secretary that introduced it.”
As part of the Zero Emission Vehicle mandate, brands are expected to have 22 per cent of car sales and 10 per cent of van sales come from zero emission vehicles by the end of the year, which has prompted mass industry fears.
In a statement, Stellantis said it would consolidate its UK manufacturing of light commercial vehicles in Cheshire through a £50million investment.
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The restructuring will see some jobs moved over to the Ellesmere Port manufacturing hub
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It added that this would lead to greater production efficiency in a bid to become the best-selling LCV manufacturer in the world.
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.”