Luton Borough Council

22/05/2025 - Economic Growth Taskforce established to coordinate response to Vauxhall plant closure

This week (Tuesday 20 May), a newly formed taskforce convened its first official meeting to address the significant economic and social impact of the Vauxhall closure. The Minister for Industry delivered the opening address.

Following last year’s announcement by Stellantis to close its Vauxhall van manufacturing plant in Luton, a locally led Luton Taskforce was established by Luton Council, with the support of Central Government, to lead a strategic, coordinated response to the social and economic impact. It is anticipated the closure will directly affect just under 1,200 employees.

The taskforce will provide strategic leadership and coordination across all areas of the local response. It will oversee a series of dedicated “task and finish” groups focusing on immediate support for affected workers and their families, as well as longer-term regeneration and economic growth, including developing and delivering proposals to Central Government for a comprehensive economic response package for Luton.

In alignment with Luton 2040—the town’s long-term vision for inclusive economic growth—the taskforce will have in their scope of work, targeted skills and retraining packages. It will develop and advocate for investment projects to stimulate economic development and regeneration, identify new funding streams and accelerate delivery of programmes to mitigate the plant’s closure. It will also recognise Luton’s industrial heritage by developing a plan to ensure the legacy of over 120 years of car and van manufacturing.

Cllr Hazel Simmons MBE, leader of Luton Council, said, “The closure of the Vauxhall plant was a profound moment for our town, and we needed to act with unity, urgency, and ambition. The Luton Taskforce will lead this charge—working to protect livelihoods, attract investment, and chart a new course for the town’s economic future.

“This is in line with our Economic Growth Strategy which sets out a clear vision for creating a stronger, and more productive economy, which delivers greater opportunities for our residents, improves their everyday lives and ensures that no one is left behind. It will increase the resilience of our places and communities and support our businesses to thrive.”

Industry Minister Sarah Jones said, “We know this will be a concerning time for Stellantis employees and their families, and we fully support the work of the Luton Taskforce to help those affected through this process.

“We are taking significant action to back British carmakers and protect jobs as we deliver on the Plan for Change – from announcing over £2 billion to support manufacturers in the switch to electric vehicles and giving them more flexibility in the ZEV mandate to do so. Our Industrial Strategy will also set out a long-term plan to support our manufacturers further.”

Jason Harris, Commercial Director at Goodman said, “We welcome the establishment of the Task Force and look forward to continuing to work with the council, government, business community and other partners to realise the huge economic growth opportunities for Luton.

“This includes our plans to regenerate the former Vauxhall site at Kimpton Road, which will attract a mix of high-quality businesses to the town from sectors such as manufacturing, engineering, advanced logistics and digital infrastructure.”

The Luton Taskforce is made up of representatives from Luton Council, Stellantis, and DWP, Chamber Business Bedfordshire, South Midlands Authorities Business Board, Ox Cam Super Cluster Board, London Luton Airport, University of Bedfordshire, Cranfield University, Barnfield College, Goodman the new owner of the Vauxhall Site and with support from Central Government.