09:19 AM EDT, 06/11/2025 (MT Newswires) -- NFI Group ( NFYEF ) on Wednesday said its subsidiary, Alexander Dennis, is entering into a consultation on a new strategy for its United Kingdom manufacturing operations.

The company said that this follows the completion of a detailed business review and "is intended to adjust the UK business to changing market dynamics."

A company statement noted that, under the consultation, Alexander Dennis plans to consolidate its UK bus body manufacturing operations into a single site in Scarborough, England. Its Scottish based manufacturing in Falkirk would be discontinued and the site closed, while production lines at Larbert would also be suspended upon the completion of current contracts.

The company stated that this proposed structure will lower overall costs, "deliver clearer responsibilities and increase efficiency by removing duplicate functions and activities."

Alexander Dennis will also make changes to the structure and management of key customer support teams.

The company added that the statutory consultation places up to 400 roles at Alexander Dennis at potential risk of redundancy, representing approximately 22% of Alexander Dennis' workforce and 4% of NFI's global workforce. The company also expects a follow-on impact in its domestic supply chain.

"We are proposing a new UK manufacturing strategy to underpin financial sustainability and lower operating costs in the face of changing and challenging market dynamics," said Alexander Dennis President & Managing Director, Paul Davies.

"It is extremely regrettable that as part of this, we must place jobs at potential risk of redundancy and propose to cease manufacturing operations at some of our facilities," added Davies. "While stakeholders have been sympathetic of the situation, the stark reality is that current UK policy does not allow for the incentivization or reward of local content, job retention and creation, nor does it encourage any domestic economic benefit."