The proprietor of Vauxhall has introduced plans to shut its van making manufacturing facility in Luton, placing about 1,100 jobs in danger.
Stellantis, which additionally owns manufacturers together with Citroen, Peugeot and Fiat, mentioned it will consolidate its electrical van manufacturing at its different UK plant in Ellesmere Port.
The choice comes after the corporate warned in June it could halt UK manufacturing except the then authorities did extra to spice up demand for electrical automobiles (EVs).
There are rising issues amongst automobile producers that guidelines designed to hurry up the transition to electrical are too harsh.
As a part of the shift to electrical, producers are required to promote a sure share of automobiles and vans that emit zero emissions.
Present guidelines state EVs should make up 22% of a carmaker’s automobile gross sales, and 10% of van gross sales this yr. For each sale that pushes it exterior the mandate, corporations should pay a £15,000 positive.
Automotive manufacturers with factories within the UK have been urging the federal government to chill out the foundations, arguing that EV demand is just not robust sufficient and extra incentives are required for drivers to go absolutely electrical.
Following the extreme strain from trade, Enterprise Secretary Jonathan Reynolds is predicted to announce a session on the foundations in a while Tuesday.
Stellantis’s Vauxhall Luton plant presently builds petrol and diesel vans and had been because of begin making its medium-sized Vivaro Electrical van from 2025, earlier than the choice to shut it.
Electrical fashions from different Stellantis manufacturers, together with Citroën, Peugeot and Fiat, had been additionally set to be constructed there.
