Derby: Alstom train factory in government talks to fill order gap

The firm was relying on large orders to supply HS2 but these have been delayed, along with the wider project

The boss of the UK's largest train factory, where thousands of jobs may be at risk, said the firm was "discussing options" with the government.

There are concerns Alstom's Derby plant, which employs 2,000 staff, could lay off workers due to a gap in orders.

Managing director Nick Crossfield said he hoped conversations "will conclude with the clarity that we need".

Derby City Council said it was "shocked" at reports of potential job losses, and offered support.

Concerns were raised after newspaper reports said Alstom had been relying on existing orders from HS2 but that it was looking to reduce its workforce as these had been pushed back

Its Litchurch Lane site has been turning over work for South Western Railway and West Midlands Trains, which comes to an end in early 2024.

'Critical time'

Speaking to Radio 4's Today programme, Mr Crossfield said with work on the HS2 trains not set to begin until late 2026, it was a "critical time" for the plant.

"It's one of Alstom group's largest single manufacturing facilities and it needs work and activity to remain viable," he said.

"The immediate issue is a short-term gap in production. We've been engaged with the government for months discussing options to fill that gap."

He said the conversations were "ongoing" but "constructive".

"They fundamentally understand the issue at hand," he said. "We are hopeful at this stage that those conversations will conclude with the clarity that we need."

The firm's factory in Derby was originally opened in 1876 and recently supplied trains for the Elizabeth Line on London's Crossrail network

The site is the only UK factory able to design, build, engineer and test trains for domestic and export markets.

It is estimated, as well as the core jobs, the factory also supports 1,400 supply chain companies, employing about 17,000 people.

Baggy Shanker, Labour leader of Derby City Council, said the firm was one of the city's largest private employers.

"As a council, we're ready to play our part and urge the government and unions to work closely with Alstom to ensure a sustainable future for the factory," he said.

Steve Turner, assistant general secretary for manufacturing at the Unite union, said the lack of work for the factory "could be devastating for Derby and we could be looking at the destruction of the rail supply chain in general in this country".

A Department for Transport spokesperson said: "The government remains committed to supporting the entire sector.

"We remain in contact with Alstom as it develops a sustainable future for its Derby site."