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£390m armoured vehicle servicing deal announced by Cameron David Cameron unveils £390m MoD deal creating 250 jobs
(about 7 hours later)
A £390m contract to assemble and service armoured fighting vehicles at a plant in Merthyr Tydfil will create 250 highly skilled jobs, the prime minister has announced. A £390m defence contract for armoured fighting vehicles will create 250 skilled jobs in Merthyr Tydfil, the prime minister has announced.
A former fork lift site will be taken over by General Dynamics for the work. A former forklift truck factory will be taken over by General Dynamics (GD) for assembly and maintenance work.
It follows a £3.5bn deal to buy 589 of the Scout Specialist Vehicles at General Dynamics at Oakdale in Caerphilly county.It follows a £3.5bn deal to buy 589 of the Scout Specialist Vehicles at General Dynamics at Oakdale in Caerphilly county.
The prime minister called the deal a credit to local "skills and expertise". David Cameron called it a credit to local "skills and expertise".
David Cameron announced the contract, to run until 2024, ahead of a visit to Wales on Thursday. GD, which already employs 550 people in Oakdale, will open a new plant in the old Halla factory in Pentrebach.
"The 250 additional new skilled jobs at GD will build on those already safeguarded by the decision to purchase 589 Scout vehicles for our Armed Forces, ensuring our servicemen and women have the very best equipment to keep us safe," he said. The deal, to run until 2024, was announced ahead of Mr Cameron's visit to Wales on Thursday.
Merthyr Tydfil and Rhymney MP Gerald Jones welcomed the news and said that the town is on the up and now "going places". "The 250 additional new skilled jobs at GD will build on those already safeguarded by the decision to purchase 589 Scout vehicles for our armed forces, ensuring our servicemen and women have the very best equipment to keep us safe," he said.
He pointed to a long history of engineering jobs in the area, at factories such as Hoover, and said institutions such as Merthyr Tydfil college would be able to provide the skills needed to fill the new jobs. The company said the contract would "open up exciting new possibilities for General Dynamics in the UK in the years ahead".
Merthyr Tydfil and Rhymney MP Gerald Jones welcomed the news and said the town is on the up and now "going places".
He pointed to a long history of engineering jobs in the area at factories such as Hoover and said institutions such as Merthyr Tydfil College would be able to provide the skills needed to fill the new jobs.
While he admitted some people still need to travel to work, Mr Jones said regeneration in the area, the dualling of the Heads of the Valleys road and the availability of land now meant companies were looking to invest in the area again.While he admitted some people still need to travel to work, Mr Jones said regeneration in the area, the dualling of the Heads of the Valleys road and the availability of land now meant companies were looking to invest in the area again.
"Merthyr Tydfil is going through quite a large physical regeneration and there is a buzz around the town," he told BBC Radio Wales."Merthyr Tydfil is going through quite a large physical regeneration and there is a buzz around the town," he told BBC Radio Wales.
The Ministry of Defence (MoD) intends the Scout to be the "eyes and ears" of the British Army in the most tricky terrains around the world. The Ministry of Defence (MoD) intends the Scout to be the "eyes and ears" of the Army in the most tricky terrains around the world.
'Prestige SUV'
The prime minister also revealed his government was keen to persuade the famous car brand Aston Martin to make a home for itself in the Vale of Glamorgan, by the MoD vacating land at St Athan.The prime minister also revealed his government was keen to persuade the famous car brand Aston Martin to make a home for itself in the Vale of Glamorgan, by the MoD vacating land at St Athan.
"As we set out on Tuesday this week, we also want to do more to release public sector land to create new opportunities for hard-working people," said Mr Cameron. He said a large MoD hangar could be made available to the company in what he described as a "great offer".
"Here in Wales, I think there is real potential to vacate Ministry of Defence land at St Athan, and we're willing to make that available as part of efforts to persuade Aston Martin Lagonda to manufacture their new prestige SUV in the UK." BBC Wales understands the firm is considering sites in St Athan and another in Coventry.
However, Aston Martin told BBC Wales that no decision has been taken on the location of a new manufacturing plant.
A spokesperson said: "No decision has been taken on a location of a new manufacturing plant; we are considering a wide variety of domestic and international options".
The Welsh government said it had been lobbying the MoD to release land at St Athan, and the issue was raised by First Minister Carwyn Jones directly with Mr Cameron earlier this week.
"So we are pleased that he finally agreed at that meeting to make this land available," said a Welsh government spokesperson.