**County Durham**: Hitachi Rail’s Newton Aycliffe plant secures a £300 million contract for battery hybrid trains, signalling optimism for jobs and the future of rail manufacturing in the region as the market stabilises after a challenging period for the industry.
Bosses at Hitachi Rail’s plant in Newton Aycliffe, County Durham, are optimistic about the future following the announcement of a significant £300 million contract to produce new battery hybrid trains for the Arriva Group. This order aims to replace the current fleet serving the Grand Central Service, which operates trains from Sunderland to London, and comes as a welcome boost to the factory amidst previous uncertainties regarding job security for its 750 employees.
The announcement was made on Thursday, marking the second major contract awarded to the facility in a short span of time, the first being a £500 million deal to manufacture trains for FirstGroup disclosed last December. These developments represent a reversal of a concerning trend where fears over a production gap had emerged.
Jim Brewin, Hitachi Rail’s chief director for the UK and Ireland, expressed his delight at securing the latest order, stating he is particularly enthusiastic about the “new technology journey” that the Durham plant can now embark upon. Speaking to the Local Democracy Reporting Service (LDRS), he emphasised the importance of long-term prospects for the industry, indicating that stable orders would follow the introduction of innovative solutions. Brewin remarked, “What it gives is a longer-term focus on what we can do for the industry. Once you have solutions for people, orders will follow on the back of that I believe.”
Reflecting on the recent developments, he noted that the announcement comes at a pivotal time for the business, stating, “Two orders in six months is absolutely thrilling, given the last few years and the impact of the Covid pandemic on the industry.” Brewin further indicated that the rail market appears to be stabilising, with new opportunities for procurement emerging.
Heidi Alexander, the Labour transport secretary, visited the plant on Thursday and described the new deal as a “vote of confidence in rail manufacturing and in the North East,” labelling it a “big moment” for both Hitachi and Newton Aycliffe.
The latest order arrives on the heels of Arriva securing permission to maintain its Grand Central operations through to 2038, which includes routes from Bradford to London and may expand to incorporate new services stopping at Seaham, thus providing the town with its first direct link to the capital.
North East mayor Kim McGuinness described the announcement as “brilliant news” for Sunderland, highlighting the renewed confidence in Hitachi and suggesting that it indicates the factory’s sustainability moving forward.
Angel Trains, the financing partner for this new contract, underscored the potential benefits of the new carriages for Grand Central passengers, reinforcing the role of the trains in connecting communities across Northern England and contributing to economic growth. David Jordan, Chief Operating Officer of Angel Trains, stated, “This latest development builds on the momentum created by the successful conclusion of our battery trial with Hitachi Rail at the end of last year and demonstrates the transformative potential of battery technology in both existing and new fleets.”
The announcement of this substantial train order is anticipated to pave the way for further developments in the rail manufacturing sector, particularly in relation to advanced battery technology.
Source: Noah Wire Services