Bombardier decision will not be reviewed, says Hammond
A decision to select Germany's Siemens for a £1.4bn train contract, rather than Bombardier in the UK, will not be reviewed or put out to tender again.
This is despite 1,400 jobs being lost at Bombardier's Derby factory.
Transport secretary Philip Hammond told MPs the job cuts were "regrettable". But Hammond said that delaying the Thameslink trains contract – that aims to link Bedford and Brighton – would be unacceptable.
Unions have urged government to reverse its decision to make Siemens the preferred bidder. But Hammond told the Transport Select Committee that government was keen to see if any lessons could be learnt for future contracts.
The government said in June that Siemens had been successful in its bid to build 1,200 train carriages, because it represented the best value for money.
While Bombardier is laying off staff, Siemens has said that it will create 2,000 jobs in the UK as a result of winning the contract. But Siemens said it planned to build the trains in Germany and only 300 of the UK jobs it created at its factory in Hebburn, South Tyneside.
