Latest news with #AlexanderDennis
BBC News
2 days ago
- Business
- BBC News
Scottish government explores Alexander Dennis bus deal
The Scottish government is "actively exploring" a package which could bring new work to troubled bus-maker Alexander Minister John Swinney said talks were ongoing over a new manufacturing deal at the firm's Falkirk and Larbert company announced plans to consolidate its UK operations at a site in Scarborough, North Yorkshire, last month with the loss of 400 Scottish said he was unable to confirm any details due to "commercial sensitivity," however deputy first minister Kate Forbes is due to update workers from the GMB and Unite unions later. Alexander Dennis extended a deadline for a consultation on the move until 15 August earlier this previously said he was "deeply concerned" by the cuts, but was criticised for his government's record on outsourcing bus manufacturing to China. However he said ministers were placing the "utmost importance" in retaining "highly-skilled manufacturing" at the said: "The Scottish government has committed to exploring any and all viable options throughout the consultation period to allow the firm to retain its skilled employees and manufacturing and production facilities."While I cannot provide details due to commercial sensitivity at this time, I hope this update provides the workforce and local community with further assurance that the Scottish government remains wholly committed to supporting the future of bus manufacturing in Scotland."He added: "We will undertake this work in tandem with every other short, medium and long-term opportunity we continue to explore in close collaboration with the company, Unite, GMB, Scottish Enterprise, Transport Scotland and the UK government." The company's managing director, Paul Davies, told MSPs last month it would need to win contracts for 70 new buses this year and 300 next year to keep operations in Falkirk and Larbert said the Scarborough facility was capable of producing about 1,200 buses a job losses would come as a further bitter blow to the Falkirk area, which has already seen 400 jobs cut following the closure of the Grangemouth oil Scottish government met with officials in July to discuss the possibility of a furlough scheme for affected and Unite have been contacted for comment.
Scotsman
2 days ago
- Business
- Scotsman
Swinney: New work for bus maker Alexander Dennis being explored
The First Minister said details remain commercially sensitive Sign up to our Politics newsletter Sign up Thank you for signing up! Did you know with a Digital Subscription to The Scotsman, you can get unlimited access to the website including our premium content, as well as benefiting from fewer ads, loyalty rewards and much more. Learn More Sorry, there seem to be some issues. Please try again later. Submitting... The Scottish Government is actively exploring a package which could deliver new work to the troubled Alexander Dennis bus maker, John Swinney has said. The First Minister said he could not provide further details due to 'commercial sensitivity'. He has asked the company to consider an extension to its consultation period while the package is developed. Advertisement Hide Ad Advertisement Hide Ad General view of the Alexander Dennis site at Camelon, near Falkirk | PA Last month, Alexander Dennis announced it was proposing to consolidate its UK operations at a single site in Scarborough, North Yorkshire. The decision puts 400 jobs at risk at its facility in Falkirk in another blow to the Forth Valley, which has already seen more than 400 jobs go at the Grangemouth refinery this year. Mr Swinney said: 'Scottish ministers place the utmost importance on the presence of Alexander Dennis in Scotland and the retention of its highly skilled manufacturing workers. 'The Scottish Government has committed to exploring any and all viable options throughout the consultation period to allow the firm to retain its skilled employees and manufacturing and production facilities. Advertisement Hide Ad Advertisement Hide Ad 'While I cannot provide details due to commercial sensitivity at this time, I hope this update provides the workforce and local community with further assurance that the Scottish Government remains wholly committed to supporting the future of bus manufacturing in Scotland. 'We will undertake this work in tandem with every other short, medium and long-term opportunity we continue to explore in close collaboration with the company, Unite, GMB, Scottish Enterprise, Transport Scotland and the UK Government.' Deputy First Minister Kate Forbes will meet with the unions GMB and Unite today to update them on the proposal. Labour previously accused Holyrood ministers of overlooking Scottish industry in favour of ordering buses from China. Mr Swinney argued state aid regulations – in the form of the UK-wide Subsidy Control Act – prevent the Government from directly procuring from a single supplier like Alexander Dennis. Advertisement Hide Ad Advertisement Hide Ad Speaking to The Scotsman last month, Scottish Secretary Ian Murray said: "They [the Scottish Government] have to look themselves in the mirror. But they should be leaving no stone unturned about how we can keep this bus company open."
The National
2 days ago
- Business
- The National
John Swinney hints at rescue package to save Alexander Dennis jobs
The Scottish Government has today confirmed it is looking at a rescue package it thinks could save jobs at Alexander Dennis – but said details were being kept under wraps due to 'commercial sensitivity'. The firm has threatened to end its manufacturing operations in Scotland by closing its sites in Larbert and Falkirk, putting 400 jobs on the line. It is planning to centralise its operations in Scarborough, North Yorkshire. In a statement, Swinney indicated that a package of new work to keep jobs in Scotland was being explored. READ MORE: Protesters to slam SNP's £180,000 cash award to Donald Trump golf course He said: 'Scottish Ministers place the utmost importance on the presence of Alexander Dennis in Scotland and the retention of its highly skilled manufacturing workers. 'The Scottish Government has committed to exploring any and all viable options throughout the consultation period to allow the firm to retain its skilled employees and manufacturing and production facilities. 'While I cannot provide details due to commercial sensitivity at this time, I hope this update provides the workforce and local community with further assurance that the Scottish Government remains wholly committed to supporting the future of bus manufacturing in Scotland. 'We will undertake this work in tandem with every other short, medium and long-term opportunity we continue to explore in close collaboration with the company, Unite, GMB, Scottish Enterprise, Transport Scotland and the UK Government.' Deputy First Minister Kate Forbes is meeting unions GMB and Unite to discuss the proposal while [[Transport]] Secretary Fiona Hyslop attends a meeting of the UK Bus Manufacturing Expert Panel in London focusing on the future pipeline of zero-emission bus orders. READ MORE: Trans toilet rules 'may force Scottish museums to close' It was reported earlier this month that a consultation with the workforce on job losses would be extended for another fortnight to explore ways of keeping jobs in Scotland. There have also been proposals to put staff on a furlough scheme to retain jobs in Scotland before work on new orders came in. Unite's regional secretary for Scotland Derek Thomson previously told a Holyrood committee that the closure of Alexander Dennis's Scottish operations would be "catastrophic" for the local area. The threat of closure has already spilled into the Scottish economy, with Greenfold Systems Ltd, based in Dunfermline, Fife, closing because a major proportion of its operations were involved with the troubled bus firm. A total of 81 jobs were lost after the "loss of a major contract", administrators said. The threatened closure has become a major political issue, with Scottish Labour accusing the SNP of failing to do enough to support the firm. Anas Sarwar has repeatedly criticised John Swinney of having done "nothing" to save jobs, pointing out that the [[SNP]] were ordering "buses from China, instead of from Scotland". But it later emerged that in Labour-run Edinburgh, where the buses are municipally owned by the council, had not bought buses from Alexander Dennis in the last three years.
Times
2 days ago
- Business
- Times
Ministers seek 11th-hour reprieve for jobs at Alexander Dennis
An economic package that could give the financially troubled bus company Alexander Dennis an 11th-hour reprieve and save hundreds of jobs is being worked on by the Scottish government. Although the details have not been disclosed, the first minister John Swinney has urged the company to extend its mandatory closure consultation period, which expires on August 15, for it to be finalised. The specifics had to be kept private at this point because of commercial sensitivity, the need for further discussions and to allow due diligence on viability to take place, the government said. Alexander Dennis announced plans in June to stop manufacturing in central Scotland, at sites in Falkirk and Larbert, resulting in 400 job cuts. Suppliers have already been forced to make scores of staff redundant. The bus company is proposing to centralise bus construction in Scarborough, North Yorkshire. 'Scottish ministers place the utmost importance on the presence of Alexander Dennis in Scotland and the retention of its highly skilled manufacturing workers,' Swinney said. 'The Scottish government has committed to exploring any and all viable options through the consultation period to allow the firm to retain its skilled employees and manufacturing and production facilities. 'While I cannot provide details due to commercial sensitivity at this time, I hope this update provides the workforce and the local community with further assurance that the Scottish government remains wholly committed to supporting the future of bus manufacture in Scotland.' Kate Forbes, the deputy first minister, will meet with the unions GMB and Unite on Monday to update the Scottish workforce. Alexander Dennis is the largest bus and coach manufacturer in the UK and had a 50 per cent market share in 2019. The firm's managing director, Paul Davies, said it would need to win orders for at least 70 new buses this year — and a further 300 next year — for it to keep its Scottish sites open. The issue was demand and the company did not have sufficient volume in the order book to sustain two manufacturing sites in the UK, Davies said. The Scarborough operation has the capacity to produce around 1,200 buses a year.
The Herald Scotland
7 days ago
- Business
- The Herald Scotland
Why is there a public funds row over Alexander Dennis leaving Scotland
A government funding row stems from ADL securing tens of millions in [[pub]]lic money after first proposing to cut around one-third of its Scottish workforce, including facilities in Falkirk and Larbert in 2020 and then admitting it is looking to move to England in June. Scottish Enterprise, the agency managing government support, has stated that its most recent review found 'no risks had been identified that would preclude continued funding' to Alexander Dennis. Who is Alexander Dennis and why does it matter to Scotland? Alexander Dennis Limited (ADL) is a major bus and coach manufacturer headquartered with bases in Falkirk and Larbert. Formerly Scottish-owned, it was acquired by Canada's NFI Group in 2019. ADL employs around 1,850 people in the UK, with a significant proportion based in Falkirk and Larbert. The company is a leader in zero-emission bus technology - electric and hydrogen buses - and plays a key role in delivering Scotland's and the UK's green transport ambitions. What are the current challenges facing Alexander Dennis? ADL says it faces an 'uneven playing field' due to policies that favour foreign competitors, including Chinese electric bus manufacturers, whose market share recently rose from 10% to 35% in the UK market ADL's leadership highlighted that government procurement and subsidy schemes tend to prioritise lowest cost rather than domestic manufacturing or local job creation Additionally, UK policies under the Subsidy Control Act 2022 limit the ability to favour domestic suppliers in public funding, while Scottish rules require UK-based firms to meet Fair Work First standards, which it is claimed put ADL at a competitive disadvantage compared to international rivals who are not bound by these conditions. READ MORE from Martin Williams: Bus firm off to England in £90m Scots public funding row may get even more millions Swinney got year-long warning England-bound bus firm was 'reconsidering' Scotland FM in funding row as £90m public cash for Scots jobs given to firm going to England Union says 1600 Scots jobs at risk if government doesn't act in 'national interest' Scottish Zero Emission Bus Challenge Fund (ScotZEB) allocated £100m for green bus procurement. However, according to former SNP minister Michael Matheson with 523 vehicles ordered, only 162 - less than a third - were built by Scottish manufacturers like Alexander Dennis. It was estimated the rest went to overseas firms, including around half from China. Why are jobs in Scotland at risk? In September 2024, ADL launched a consultation on cutting 160 jobs at its Falkirk site due to funding imbalance and policy challenges In June 2025, the company announced plans to end manufacturing altogether in Falkirk and Larbert, consolidating operations at its English site in Scarborough—putting up to 400 jobs at risk in Scotland. (Image: Andrew Milligan/ PA) Unite and other unions warned that up to a multiplier of 1,600 jobs could be affected in the wider supply chain and support services if the closures proceed. Why is this important to Scotland? ADL is one of the largest manufacturing employers in central Scotland with many roles in engineering, apprenticeships, and high-skill technical jobs. The loss of production capacity would affect not only existing jobs but also local supply chains and community livelihoods ADL positions Scotland at the forefront of zero-emission transport technology, aligning with national climate targets and global export opportunities. It is argued that losing manufacturing in Larbert and Falkirk would diminish Scotland's ability to innovate and scale production in green mobility - a strategic disadvantage amid increasing global demand for clean public transport. Why is the public funding of Alexander Dennis an issue? ADL has received some £90m of taxpayer cash over the past ten years and tens of millions since a 2020 plan to axe a third of its Scottish workforce in advance of June's plan to exit to England. The firm had also admitted they had been 'forced' to offshore certain manufacturing functions to China. The public funding is contentious because substantial taxpayer money - allocated to secure jobs and promote clean, local manufacturing in Scotland has coincided with offshore production, reduced domestic orders, and now a possible factory closure and mass redundancies. This raises questions over policy design, procurement strategy, and accountability for economic outcomes. What does the Scottish Government say and how are they responding? Deputy First Minister Kate Forbes described the situation as 'hugely worrying' and says the [[Scottish Government]] is actively exploring all options to preserve jobs and retain manufacturing capacity in Scotland. The government is working with the UK Government, Transport Scotland, Scottish Enterprise, and trade unions to identify mitigation measures and potential support programs. What solutions are being proposed? Fairer procurement frameworks involving publicly funded support, including giving greater weight to local content and job creation. There has been a call for the creation of a strategic industrial partnership involving government, trade unions, industry, and colleges to support retention, reskilling, and redeployment of skilled staff in transitioning industries. Euan Stainbank MP and others have urged city-region mayors in England to place zero emission bus orders with ADL in Scotland. Their letter proposes orders totaling 70 buses in 2025, and 320 buses in 2026, to maintain steady production and job continuity. Prime Minister Sir Keir Starmer confirmed Labour support, stating they're working with mayors to secure future orders and uphold manufacturing in [[Falkirk]] and Larbert. A joint UK-Scottish Government working group, alongside Scottish Enterprise and trade unions, is meeting weekly to explore viable ways to sustain local operations.
