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Only 31% of the 523 electric buses funded by the SNP\u2019s Zero Emission Bus Challenge Fund have been manufactured in Scotland, while over half were built in China, raising concerns over the future of Scottish busmaking jobs as Alexander Dennis Limited moves to close factories in Falkirk and Larbert.<\/p>\n
Less than a third of the electric buses funded by the Scottish National Party (SNP) Government’s Zero Emission Bus Challenge Fund (ScotZEB) have been manufactured in Scotland, sparking concerns over the impact on local jobs and industry. Of the 523 buses ordered under the scheme, only 162\u2014or 31 per cent\u2014were built in Scotland, with the majority produced overseas. Notably, 287 buses, constituting 55 per cent of the total, were made in China, exceeding the number manufactured across the entire UK.<\/p>\n
The figure has raised particular concern amid the backdrop of job losses and manufacturing contractions in the Falkirk area. Alexander Dennis Limited (ADL), once a cornerstone of Scottish bus manufacturing with plants in Falkirk and Larbert, recently entered a consultation process proposing factory closures and consolidation of production in Scarborough, England. This restructuring threatens around 400 jobs and ends a century of bus-making heritage in the region, compounding economic blows including the recent closure of an oil refinery nearby.<\/p>\n
Labour politicians have sharply criticised the SNP Government\u2019s approach, framing it as a failure to support Scottish industry despite significant public investment. Euan Stainbank, Labour MP for Falkirk, stressed that the government\u2019s green industrial ambitions starkly contrast with their funding allocations, which have seen public money facilitate foreign manufacturing rather than preserve skilled local employment. He condemned the fact that nearly three-quarters of the buses funded were built outside Scotland, calling it \u201can insult to the workers\u201d fighting to keep heavy industry alive in their communities.<\/p>\n
Supporting these concerns, Glasgow Labour MSP Paul Sweeney highlighted that the Scottish Government does not currently gather data on the manufacturing locations of these buses, suggesting that the social value measures in public procurement are inadequate. He called for a bolstering of policies to prioritise Scottish manufacturers and protect skilled jobs from foreign competition subsidised by Scottish taxpayers.<\/p>\n
The Scottish Government, while acknowledging the consultation process at ADL, insists it is actively exploring options to retain manufacturing jobs and facilities at Falkirk and Larbert. It emphasises that since 2020, ADL has secured more zero-emission bus orders through ScotZEB and its predecessor programme than any other manufacturer, receiving \u00a358 million in subsidies and securing over 360 orders through these government schemes. This includes a recent deal for 137 battery-electric buses to be built in Falkirk, reinforcing some local manufacturing and green job retention.<\/p>\n
ScotZEB itself is part of a broader government strategy to decarbonise Scotland\u2019s public transport fleet. With over \u00a362 million invested in the first phase, the fund aims to replace 276 old diesel buses with zero-emission models and establish the necessary charging infrastructure, contributing to ambitious climate change targets. Between 2020 and 2025, the number of zero-emission buses in Scotland has risen from fewer than 20 to over 800, reflecting a significant shift towards sustainable transport although challenges remain in sourcing production locally.<\/p>\n
However, the dynamics of the global bus market and competition from Chinese manufacturers have placed pressure on UK producers like ADL. Industry observers note that consolidation efforts by ADL reflect the changing market landscape and the difficulty of maintaining multiple production sites amid increasing foreign competition.<\/p>\n
The current situation highlights a tension between ambitious environmental goals and the realities of industrial policy and economic geography. While the transition to zero-emission transport is critical for Scotland\u2019s climate commitments, the localisation of the manufacturing supply chain remains a key issue. The closure of plants and job losses in Falkirk underline the need for procurement policies that better align green targets with industrial preservation, ensuring public investment both advances decarbonisation and sustains local economies.<\/p>\n