A Ukrainian company which produces military drones is to build a new factory and testing centre in the region - which could mean a jobs boost for Lotus workers facing redundancy.
Ukrspecsystems has announced investment in a new 11,000m2 factory at Mildenhall and a testing and training centre in Elmsett, in Suffolk, creating hundreds of new jobs and apprenticeships.
Council leaders have welcomed the announcement and say it will provide opportunities for skilled Lotus workers whose jobs at Hethel are at risk.
One of the drones produced by Ukrspecsystems (Image: Ukrspecsystems)
The company, which produces eight types of drone for military and civil use, says it is investing £200m in the UK over the next three years and could expand to other sites in East Anglia.
Drones have been playing a key role in the conflict in Ukraine, following Russia's invasion in 2022, with both sides using the technology to attack targets.
The new plant will also be close to Thetford Forest, which is used to train Ukrainian military personnel.
With skilled engineers needed to produce the drones, there could be opportunities for some of the 550 Lotus workers whose jobs at the Hethel-based car manufacturer could be lost.
The Lotus site at Hethel (Image: Denise Bradley)Rory Chamberlain, UK managing director for Ukrspecsystems, said production was due to start next year.
He said: "Ukrspecsystems is proud to be the first Ukrainian company to commit to a funded plan to invest in infrastructure, jobs and skills in the UK.
"Our factory at Mildenhall and flight test and training facility at Elmsett are testament to this commitment."
Fabian Eagle (Image: NCC) Fabian Eagle, cabinet member for economic growth at Norfolk County Council, said it was encouraging that major engineering companies realised the potential of the region and hoped it would create career options for Lotus staff and others.
The potential boost comes at a time when leaders at County Hall and South Norfolk Council, who have set up a taskforce to help Lotus workers, revealed details of a support package to help those affected.
South Norfolk sportscar manufacturer Lotus announced the mass job losses last month, saying it has been hit hard by US tariffs and falling demand.
The redundancies are likely to be made at the end of the financial year - March next year.
The taskforce's package focuses help on three areas - hardship and managing finances, finding a new job and assisting with new business start-ups.
It includes help with benefits and financial support, along with professional wellbeing support, with plans for a pop-up vehicle at the Lotus site and a dedicated space at Hethel Engineering Centre.
Employment specialists will offer assistance in finding new jobs, including CV writing, interview preparation and job searches, while workers will be linked to vacancies at Norfolk engineering firms and to courses to upskill or retrain.
People looking to start their own businesses will be offered subsidised office space at Hethel Engineering Centre, support and financial help.
Mr Eagle said: "At difficult times like this we must put people first and work together to provide the support they need.
"It’s also vital that we keep the automotive skills and expertise in Norfolk, and we have already started working with local employers to find staff new opportunities."
South Norfolk Council leader Daniel Elmer (Image: Archant) South Norfolk Council leader Daniel Elmer said: "The teams at both councils have produced a package of support that will help people through the initial pain of losing their job, while helping them plan their future."
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