BTC Chair writes to business secretary on Stellantis Luton plant closure
27 November 2024
Business and Trade Secretary Jonathan Reynolds appeared before the Committee yesterday, Tuesday 26 November, just as the closure of the Vauxhall plant in Luton was publicly announced.
The closure, which deals a major blow to the UK’s manufacturing prospectus and risks up to 1,100 jobs, has been attributed by the plant’s owner, Stellantis, to lack of consumer demand for electric vehicles in the UK against the backdrop of government mandated EV sales targets.
In response to questioning on the announcement the minister expressed concern that the Zero Emission Vehicle (ZEV) mandate was not operating as intended, and later in the day announced a review of the framework.
Chair of the Business and Trade Committee has now written to the business secretary with a series of follow-up questions covering issues from the support that can be offered locally to offset the impact of the closure, to the potential consequences for economic and supply chain security with China globally dominant in EV manufacture, to the question of supporting consumer demand for EVs: a factor cited by multiple car manufacturers in relation to the ZEV mandate.
The response from Government will be published as soon as possible.
Further information
Image: House of Commons