New report shows train-maker’s near £1bn contribution to economy

Train-maker Alstom has contributed almost £1 billion to the economy over the past year, according to a new report.

The UK’s leading railways manufacturer, which has its train-building site in Litchurch Lane, Derby, also supports more than 17,000 jobs across the UK and Ireland, according to the 2023 Economic Impact Report, compiled by EY.

The firm, which is preparing to manufacture 54 HS2 trains at its Derby site, also works with 1,470 suppliers, 78% of which are based in UK and Ireland.

Nick Crossfield, managing director of Alstom UK & Ireland, said: “This report highlights the value that Alstom provides to the UK and Irish economies.”

John Forkin, managing director of Marketing Derby, said: “This report once again underlines the huge contribution Alstom makes, not just to Derby, but the rest of the country.

“Our city campaigned to support the operation at Litchurch Lane, when it was under the stewardship of Bombardier, after it was overlooked for a series of key train-building contracts.

“A decade later, the legacy of that campaign and the local workforce continues to be felt as the business drives forward under the ownership of Alstom.”

Alstom plays a central role in the UK’s rail industry, delivering some of the biggest rail programmes in the country from its headquarters in Derby and its additional 36 locations around the UK and Ireland.

The firm directly employs 6,280 people in the UK and Ireland, many of them in high-value engineering and manufacturing roles, with a further 10,981 indirect and induced jobs supported through the supply chain, with which it spent more than £818 million during the 2022/23 fiscal year.

It continues to be at the forefront of the country’s next rail revolution, manufacturing products such as the Aventra in Derby – the UK’s largest train production programme for a generation.

Mr Crossfield said: “With a heritage of 200 years in the UK, we continue to support thousands of jobs across the country, with our 37 sites the home of some of the UK’s biggest and best-known train manufacturing and refurbishment projects, including the Elizabeth Line, HS2 and the iconic West Coast Pendolino fleet.

“And looking to the future – within this financial period we are due to finish delivering the Aventra order book, totalling over 2,600 cars.

“We continue to deliver the two largest major signalling frameworks for Network Rail in Control Period 6, continue to support a large portion of the UK’s installed train fleet and prepare for the manufacture of 54 HS2 trains, which will roll out of our Derby factory.”

As well as boosting the economy, Alstom also creates a valuable employment pipeline, recruiting more than 100 new apprentices and graduates per year.

And in its report, EY highlights Alstom’s role in rapidly decarbonising the transport sector in the UK, helping to make rail travel the default option for millions more people.

The report states that 100% of energy used in owned Alstom sites is renewable and green, 99% of waste is recovered at these sites and up to 95% of every material used in manufacturing its trains can be recycled.

To watch a video highlighting Alstom’s contribution to the economy visit https://www.alstom.com/press-releases-news/2023/7/alstom-supports-contribution-near-ps1bn-uk-and-ireland-gdp-economic-impact-report-finds .