Scottish Government Saves Alexander Dennis Sites with £4M Pledge to Protect Jobs and Boost Green Transport
September 15, 2025
Alexander Dennis, a leading bus manufacturer in Scotland, has announced it will keep its Falkirk and Larbert sites open thanks to a £4 million pledge from the Scottish government, which supports a furlough scheme to protect jobs.
This support comes amid ongoing efforts by UK and Scottish officials to bolster domestic manufacturing and secure long-term employment, especially as the company faces challenges from overseas competition.
The scheme is part of a broader strategy to ensure Alexander Dennis's future, especially as it considers consolidating operations at a site in Yorkshire, and reflects a collaborative effort between the government and the company.
The pandemic severely impacted public transportation ridership and sales, prompting Alexander Dennis to focus on sustainability, innovation, and environmental goals to adapt to changing market trends.
The company's emphasis on electric and hybrid buses, such as the Enviro400EV, positions it to lead in the transition to greener public transport and support post-pandemic recovery.
Local MPs have called for procurement reforms to favor British companies, arguing that such policies are vital for economic growth and protecting domestic industry.
Paul Davies, managing director of Alexander Dennis, described the scheme as a turning point that enables the company to explore new orders and avoid long-term closures, emphasizing collaboration and a shared commitment to domestic manufacturing.
Trade union leaders and MPs have urged for long-term procurement reforms to create a level playing field, support zero-emission bus markets, and ensure fair social and community benefits.
The company's management highlighted that the support scheme and upcoming orders are critical to maintaining operations at Scottish sites and preventing closures.
Support from Scottish officials, including First Minister John Swinney, underscores the importance of protecting manufacturing jobs and ensuring the sustainability of the factories through training and economic resilience initiatives.
Recent demand for Alexander Dennis buses has increased, and the company is optimistic about securing further orders, which are essential for maintaining Scottish manufacturing and safeguarding jobs.
The continuation of the scheme depends on the company securing between 70 and 100 bus orders by the end of the year and additional orders next year to ensure viability.
Summary based on 14 sources
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Sources

BBC News • Sep 15, 2025
Alexander Dennis to keep sites open after £4m furlough pledge
BBC News • Sep 15, 2025
Alexander Dennis to keep sites open after £4m furlough pledge
Scottish Daily Record • Sep 15, 2025
Alexander Dennis to continue bus building in Scotland as SNP Government offers £4m furlough scheme