Vauxhall Luton plant closure: More than 1,000 jobs at risk as owner confirms plans to shut factory

Anna Wise, PA & Matthew Senior
·2-min read
Vauxhall logo
-Credit: (Image: Yui Mok/PA Wire)


The owner of Vauxhall has confirmed plans to shut its van-making factory in Luton. Stellantis, which also owns brands such as Fiat, Citroen and Peugeot, said it was expecting to close the site in April next year in a move that will put more than 1,000 jobs at risk.

The car giant said it is looking to invest up to £50 million into its Ellesmere Port plant in Cheshire. This will help to produce all-electric vans in line with the Government's zero-emission targets.

Around 1,120 full-time employees work at the Luton factory, which currently makes light commercial vehicles. Stellantis said it had launched a consultation with employees and union partners on its proposal to consolidate its van production at Ellesmere Port in a move that could see hundreds of jobs relocated to the Cheshire-based factory, alongside a plan to support affected staff in Luton.

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A spokesperson for Stellantis said: "Whilst strengthening Ellesmere Port as its sustainable light-commercial vehicle hub in the UK with the transfer of Luton operations, Stellantis remains committed to acting responsibly toward its employees in Luton and, if the company proposal is approved, will offer relocation support to facilitate employees wishing to transfer to the Ellesmere Port site with an attractive package, where hundreds of permanent jobs will be created.

"Dedicated comprehensive job support, including opportunities for retraining for all employees affected, will also be implemented in the very active Luton area, just one mile from the international airport.

"At the same time, Stellantis will work with local government and local employers to identify new employment opportunities within the Luton area for Stellantis employees who might be impacted by this proposal if it goes ahead."

A Government spokesman added: "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."

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