New £42m factory to bring 200 jobs to coast

Construction is already under way for the new Schneider Electric factory in Scarborough

A firm has unveiled plans to build a new £42m factory and create 200 jobs on the North Yorkshire coast.

Global energy company Schneider Electric employ 450 people at their existing site in Scarborough.

The firm said the new, larger site would make equipment for the move to renewable energy sources, electric vehicles and energy-efficient buildings.

It said the plant would also aim to be a net-zero model for sustainable design, with solar panels, energy-efficient light sensors and electric vehicle charging stations for employees.

The current Schneider plant in Scarborough specialises in the manufacture of low-voltage switchgears which supports the roll-out of electric vehicle charging points and net-zero buildings.

Operations will relocate to the new larger plant at Scarborough Business Park, close to the firm's existing premises, early in 2025.

Just under a third of the facility’s energy will be produced by a state-of-the art solar energy system, while an intelligent building management system will ensure energy-efficient operations including light sensors and automated heating and cooling.

The site is designed to be environmentally friendly, with dedicated cycling racks, shelters and showers on site for employees.

The new plant is expected to open in early 2025

The plan comes after Schneider Electric announced a £7.2m upgrade to its Leeds site in October 2023 which saw the creation of another 110 jobs, as part of a commitment to the Yorkshire region.

Kelly Becker, president at Schneider Electric, UK & Ireland, Belgium & Netherlands said: "The region has long been part of our operational presence in the UK, and we’re excited to expand this as part of our commitment to investing in the UK’s green economy."

The expansion of the Scarborough site was welcomed by York and North Yorkshire mayor David Skaith.

He said it would "drive new, quality jobs" and help Yorkshire become England's "first carbon negative region".

Analysis: Richard Edwards, Political Reporter, BBC North Yorkshire

Schneider Electric’s decision to invest heavily in Scarborough is huge for the town and important for North Yorkshire as a whole.

It shows the confidence a global firm has in our region’s economy but also in its workforce.

The new plant and the £42m Schneider is spending on it is politically significant too.

That is why the launch of the Schneider scheme heard from two senior Labour politicians.

One of them was a minister, Sarah Jones from the Department for Energy Security and Net Zero.

With so much of this new Labour government's energy policy tilted towards cleaner, renewable power they are well aware that firms like Schneider are who they want to be building relationships with.

Also present was York and North Yorkshire mayor David Skaith who has net-zero commitments of his own.

But a big part of his job is to adapt North Yorkshire’s economy, especially the coastal economy, towards more secure, better paid jobs.

The 200 new jobs being promised by Schneider is a significant start.

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