£500 million to secure jobs in North East

The government has helped to ensure Hitachi’s Newton Wycliffe site a future by protecting hundreds of jobs.

FirstGroup, Hitachi, and Angel Trains have come to an agreement to build 14 new 80X Hitachi electric or bi-mode trains to be used across the UK, as part of a £500 million package that will uplift the industrial heartlands and boost British rail services. The delivering of the new trains is expected to commence in late 2027.

The government has delivered meaningful engagement, a stable economy, and a proper strategy for rail, creating the right environment for such a deal to happen, in line with their commitment to developing a long-term strategy to secure the industry’s sustainable future.

Backed by the Northeast mayor Kim McGuinness and the local MP Alan Strickland, this approach ensures that the vital Northeast industrial region is not being left behind. This follows the prime minister visiting the manufacturing plant in April and promising to help secure jobs. 

This comes part of the government’s pledge to always stand for working people, which was made clear in the new Plan for Change, announced last week by the prime minister. These are ambitious milestones that include raising living standards, building 1.5 million new homes, ending hospital backlogs, having 13,000 more police officers on the streets, and giving every child the best start to life.

This new deal reflects the government’s new way of doing business by putting the country first.

The prime minister, Keir Starmer, said: “Our Plan for change has set out ambitious milestones that deliver real improvement in people’s lives— raising living standards across the country.”

“That means taking a grown-up approach to business and using the heft of government to solve problems, not create them. Getting people in the room to have the hard conversations which have been ducked for years.

“That approach is paying off. Not only has it saved jobs, but it has given business the certainty and stability they need to thrive.

“Today’s announcement is a case in point. We helped secure a deal that will help protected hundreds of jobs, keep this business ticking, and improve rail services.

“I made a promise to the workforce of the Newton Wycliffe factory and today, I’m delivering on that promise.”

Transport secretary Heidi Alexander said: “This government is determined to rebuilt our broken railways — which includes taking action to create a stable investment environment for our critical UK rail manufactures.

“This deal will bring significant benefits to the North East, and we’re committed to working closely with the entire sector so that it can continue to support jobs and growth across the country and helps deliver a railway fit for the 21st century.”

North East mayor Kim McGuinness said: “Immediately after the General Election I wrote the prime minister with a set of asks to back the North East. Hitachi was top of that list.

“Six months on, together, we have delivered for the region. Today shows the power of what we can achieve when we stand together, and that our great North East has bright days ahead of us. We have a government on our side, and working with me to make the North East the home of real opportunity.”