Financial News

  • 7 February 2014, 12:45

Bombardier Wins 1bn Crossrail Train Deal

Derby-based train maker Bombardier has been awarded a 1bn contract to supply trains to the London crossrail project, it has been confirmed.

Bombardier beat out opposition from Japan's Hitachi and Spanish firm CAF to land the contract.

The company lost out to Germany's Siemens in 2011 for a 1.6bn deal to provide trains for the north-south Thameslink scheme.

The deal will involve making 65 complete trains and support an estimated 760 jobs in Britain.

It will create 244 new jobs and 80 apprenticeships.

Unite national officer Julia Long said: "After the disastrous handling of the Thameslink contract this news must come as a massive relief for the skilled men and women at Bombardier.

"Bombardier will continue to build trains, valuable jobs will be secured and young people will have a future in manufacturing through apprenticeships. This decision is a tribute to the skills and dedication of the Derbyshire workforce."

The contract will involve the supply, delivery and maintenance of the trains, which are more than 600 ft long and capable of carrying 1,500 passengers.

They will be based at the Old Oak Common depot in northwest London.

Business Secretary Vince Cable said: "As well as providing a great boost to Bombardier and the Midlands this decision represents a real vote of confidence in British manufacturing.

"Our industrial strategy is giving business the confidence to invest, securing high-skilled jobs and a stronger economy."

Peak time Crossrail services are expected to see 24 trains crossing London, between Paddington and Whitechapel.

The full line starts in Maidenhead in Berkshire and Shenfield in Essex. It will also connect with Heathrow airport.

The finished train line will help boost London's rail capacity by 10%.

London mayor Boris Johnson said: "The Crossrail project is now rolling on full-steam ahead.

"The manufacture of these new trains will not only revolutionise rail travel in London, they will deliver jobs and economic growth in their birthplace in Derby and across the UK.

"With a firm on board to deliver a fleet of 21st century trains and the tunnelling more than halfway complete, we're on track to deliver a truly world-class railway for the capital."

The news comes as London struggles to cope due to a 48-hour strike by union workers on the Underground network.

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