By Marcus Leach

Train-maker Bombardier's Derby base is under threat after it was decided not to award them a government contract worth £1.4 billion.

Instead a consortium headed by Siemens has won the right to build 1,200 carriages for the new Thameslink route.

Despite having caused obvious outrage by awarding the contract to a German-based firm, Transport Minister Theresa Villers said the decision was taken based on value for money for UK tax payers.

"We are required by European law to judge bids entirely impartially on the basis of value for money for the tax payer," Villers said.

"With a very careful analysis and assessment of the numbers, and with officials from the Department of Transport working closely with both bidders, it was apparent Siemens offered the best value for money."

However, the news has bot been received well in Derby, where there are now fears that Bombardier may be forced to close in Derby.

"Bombardier is extremely disappointed not to have been selected as the preferred bidder for Thameslink," a Bombardier statement said.

"We will need to be debriefed by the Department for Transport to understand why we were unsuccessful."

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