Vauxhall to build new van at Luton plant, saving over 1,000 jobs

PSA, Vauxhall’s French parent company announced the next Vivaro van would be built at its Luton plant, securing 1,400 jobs past 2030.

The government said the investment was worth approximately £100m in total, although the figure might rise to £170m with 450 additional jobs being created.

Further jobs could available in the future as well, if demand reached certain targets.

PSA said that "Brexit uncertainties" had not damaged Luton’s possibilities although it would wait before investing in other UK plants. On that note, Unite said the company should try to remove "the cloud hanging over" the Vauxhall’s Ellesmere Port plant as well, which was awaiting a new model too.

That however would have to wait until the outcome of Brexit negotiations this year, PSA said in its statement.

The union, which negotiated the deal, said the proposed investment was a “deserving tribute to a dedicated workforce”. One of the most attractive natural features of the plant was its paint shop - fitted to produce van-sized vehicles - which would reduce costs.

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."

Prime Minister Theresa May said this deal was a "testament to the world-renowned expertise of the British automotive industry and workforce."