1,400 jobs axed after Germans win train deal

Bombardier, the country's last remaining train maker, today axed more than 1,400 jobs after ministers awarded a multi-billion-pound Thameslink contract to its German rival.

The job cuts triggered a huge political row with Transport Secretary Philip Hammond accused by unions of colluding in "industrial vandalism" after the contract went to Siemens.

As well as the 446 permanent jobs and 983 temporary contract staff -many highly skilled engineers - that will go at the plant itself, hundreds more will be lost from local suppliers.

More jobs are thought to be at risk as only one of the Derby plant's five production lines will have any work by September.

In a statement, Bombardier's UK passenger division president Francis Paonessa said: "We regret this outcome but without new orders we cannot maintain the current level of employment and activity at Derby."

Gerry Doherty general secretary of the TSSA transport union said: "No German or French government would be so foolish as to award such a vital contract to an overseas manufacturer threatening thousands of jobs."

Bob Crow, the RMT leader, said: "It's a scandal that the Government are colluding with the European Union in a policy of industrial vandalism."

Mr Hammond defended his position, saying the job loss were "by no means" the direct result of the loss of the Thameslink project to Bombardier.

He added: "Let's face it, just put this in context, Bombardier has had a fantastic run of success, they have been building trains for all sorts of companies over the last few years.

"They always knew that when these contracts came to an end they would have to make some job losses."