BAE Systems To Cut 1,000 Jobs In The UK

UK News


Some worrying news breaking this morning. Britain's biggest defence contractor, BAE Systems, is to announce later this week that at least 1,000 jobs will be cut. The majority of these jobs will go at the Warton plant in Preston, Lancashire, but other jobs will go at other locations throughout the country. More as the story develops.

BAE employs some 34,000 people in the UK (around half its total workforce around the world) and these redundancies are likely to be announced formally tomorrow morning. BAE have said to Sky News that these cuts are not linked to Brexit. Hmmmmmmm...

The plant where the majority of these jobs will go seems to be linked with a slowdown in production of Eurofighter Typhoon aircraft, with questions hanging over a large order to Saudi Arabia. With news of Monarch Airways heading into administration last week and this today, it's certainly not been a rosy week for the UK economy. The local economy in Lancashire will be deeply affected by this as well. Sad times.

Some speculation that this early leak of the news could trigger BAE to reveal full details earlier than planned. Tuesday was the likely date to reveal the job cuts - however, a statement could well be released today to spell out the full story.

BAE's stock price has taken a fall since this news broke around half an hour ago. In the past week the price has dipped from 624.50 to 612.50. Wonder how much further it will go once the news is confirmed...

As far as I'm aware, John Woodcock MP is the first politician to give his reaction to this story.

If you live in/near the Warton area, how worried are you with today's news? What will the economic damage on the area be? Let us know by leaving a comment.