Vauxhall are set to continue production of its new Vivaro van at its Luton plant, despite ongoing “Brexit uncertainties”.
The French car manufacturer announced it will increase production in Luton, in spite of on-going Brexit-related uncertainties facing the U.K economy.
In a boost to the UK’s automotive industry, the commitment will protect the 1,400 jobs.
The decision will see plant’s capacity increase to 100,000 a year.
As it stands, approximately 59,000 vans year are currently manufactured at Luton.
Should demand for the Vivaro prove strong, additional roles may be created at the plant.
Group chief executive Carlos Tavares said: “This is a major milestone for the future of the Luton plant and a key enabler to serve our ambitions in the commercial vehicle market.”
Business Secretary Greg Clark commented on Wednesday’s announcement:
“Today’s decision is a vote of confidence in Vauxhall’s high-skilled workforce and the UK’s world leading automotive sector.”
The commitment came after successful talks with the Unite union, alongside a government contribution thought to be in the region of £9 million.
Reports indicated that Vauxhall had considered the option of moving production to Poland or Germany, however, neither bases were deemed well-equipped to proceed with production of the vans.
In the UK, Vauxhall has 3,400 employees across its Luton and Ellesmere Port plant.
