Investment News | 15 February 2023

Heating tech giant to open Derby site creating 200 jobs

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Heating technology giant Vaillant has announced it is to open a production site in Derby creating hundreds of new jobs.

The firm, which has its UK headquarters at Belper, has taken a 12,000 square metre unit at St. Modwen Park Derby, a brand-new industrial scheme being built by St. Modwen Logistics.

Expected to open in 2024, the Derby site, which will create more than 200 jobs, will allow Vaillant to meet the increasing demand for heat pumps.

Henrik Hansen, managing director at Vaillant Group UK, said: “This new, custom-built site at St. Modwen Park will play an instrumental role in delivering the low carbon heating solutions needed to deliver a net zero future, while also creating valuable new jobs within the local community.”

Councillor Chris Poulter, leader of Derby City Council, said: “We’re thrilled that Vaillant has chosen to further invest in Derby. St. Modwen Park is an exciting development with the potential to bring huge investment and many jobs to the city.”

John Forkin, managing director of Marketing Derby, said: “We have been working with the team at Vaillant, together with our partners at the city council and St. Modwen, during the past year to secure this landmark investment.”

The investment at St. Modwen Park Derby follows hot on the heels of Vaillant opening a multi-million-pound heat pump production line at its Belper headquarters, making it the first UK manufacturer of both energy efficient boilers and heat pumps.

The official opening of that production line, which took place in November, was performed by Mr Forkin, along with Pauline Latham, MP for Mid-Derbyshire.

Reacting to Vaillant’s Derby investment, Mr Forkin said: “This is such an exciting time for the city and the continued investment from Vaillant into manufacturing sustainable heating systems will place Derby at the heart of the green jobs growth.

“Vaillant is a modern, forward-looking manufacturer with years of experience in Belper and will bring so much learning to the area.”

Ben Silcock, development and leasing manager at St. Modwen Logistics, said: “We are incredibly proud of our work at St. Modwen Park Derby, and we are really pleased to welcome a company as prestigious as Vaillant.

“It is fitting that Vaillant have chosen this sustainable warehouse to manufacture products which help people to reduce energy consumption levels and lessen their environmental impact.”

While in comparison to gas boilers, the market size for heat pumps is relatively low in the UK, it is expected to see rapid growth over the coming years as the industry aims to meet the Government’s target of installing 600,000 heat pumps per year by 2028.

When complete, the new Derby site will support Vaillant’s plans to more than double production of its award-winning aroTHERM plus air source heat pump.

Mr Hansen said: “Our investment into the UK production of heat pumps last year was a real milestone for the business, which not only saw us invest into the future of our industry but also into Derbyshire and the local community.

“Following the continued growth of low carbon technologies, Vaillant remains committed to decarbonising the UK’s homes and commercial buildings.
“Of course, we understand there is no single solution when it comes to heating our homes in the UK as the breadth of property type is diverse.
“Heat pumps are a here and now technology that can offer decarbonisation benefits, however, the future is likely to be made up of a mix of low carbon technologies.
“Ultimately, we want to help consumers make an informed choice about which heating technology will work for both their lifestyle and their property, and our new site will ensure, whichever solution suits their requirements, we are able to deliver it.”
According to Councillor Poulter, Vaillant’s investment reinforces Derby’s reputation as a city for innovation.

He said: “Derby has a lot to offer and it’s really encouraging to see huge names such as Vaillant, who are a leading manufacturer in the region, recognising this and continuing to invest into our city.

“This new facility represents a perfect blend of the innovation and hi-tech manufacturing, which Derby is famous for, with our commitment to CO2 reduction and climate change.

“We are very much looking forward to seeing the partnership between St. Modwen Park and Vaillant develop and welcoming a second Vaillant production site to Derby.”

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