HUNDREDS of jobs at an £82m train factory could be put in jeopardy if Britain leaves the EU, company bosses have warned.

Hitachi Rail Europe says a Brexit will place great uncertainty upon its UK operations, which include a 730-job plant in Newton Aycliffe, County Durham.

Last night, Phil Wilson, MP for Sedgefield, reiterated such a threat, saying he fears any EU retreat will stop Hitachi strengthening its Aycliffe base and creating further posts.

The Japanese manufacturer already has a number of contracts to make rolling stock at Aycliffe, including a deal to supply the Government’s Intercity Express Programme (IEP) with high-speed trains for the East Coast and Great Western lines.

It has also now started shipping body shells, which will be used on Scottish lines, to the region from Japan to be fitted out.

However, company bosses have admitted they are worried about the effect of a Brexit.

In correspondence to staff, seen by The Northern Echo, officials said: “We invested here because of the UK’s strong economic fundamentals and rich access to talent; we are in the UK to access the entire EU and European market.

“We can understand the EU is not perfect but the UK’s departure would create huge uncertainty for all Hitachi businesses in terms of economics, trade, skills and talent.

“It would affect the stability the company needs for continued investment and long-term growth.”

The cautionary briefing follows that of Hitachi chairman, Hiroaki Nakanishi, who, earlier this month, said he may have to reconsider the firm’s investment in its rail division if Britain leaves the EU.

Speaking in the House of Commons yesterday (Thursday, May 19), Mr Wilson, who brought both sides of the political divide together in a campaign, supported by local MPs, Durham County Council and industry, to help bring Hitachi to the region, said EU membership will be intrinsic to the company’s growth in the area.

He said: “Hitachi Rail Europe is called Hitachi Rail Europe for a reason.

“It sees the UK and the North-East as a launch pad for exporting rolling stock into the EU, which is one of the reasons why continued membership is vital.

“Hitachi has shown great confidence in UK manufacturing but I worry about future investment in the Aycliffe plant if we leave the EU.

“This isn’t meant to be part of some Project Fear, but it would be irresponsible if I didn’t express my deeply held worries about future Japanese investment if we leave the EU.

“If Britain votes to leave the EU, the Hitachi factory will not close the next day, but I am deeply concerned about the plant’s ability, in the long-term, to generate more jobs and expand without unfettered access to the EU marketplace.

“I am not prepared to stand idly by and watch new investment being threatened.”

Hitachi’s IEP stock is due to enter service on Great Western lines next year, with its East Coast trains expected to start operations in 2018.

Its Scottish fleet, known as Class 385s, will run on electrified lines between Edinburgh and Glasgow, as well as routes covering Stirling, Alloa and Dunblane.

Hitachi will also make 125mph stock at Aycliffe, to connect the North-East with Manchester and Scotland on FirstGroup’s TransPennine Express franchise.