VAUXHALL unions have voiced their concerns over production and job cuts, after General Motors (GM) chose Magna as preferred bidder for its European arm.

Canadian car parts maker Magna beat Belgian rival RHJ International.

But, only a month ago, Magna warned unions at Vauxhall’s Ellesmere Port plant that it would not work to full capacity and 840 jobs could disappear.

Plant convenor John Fetherstone said the union has “real concerns” about the new owner and he plans to meet with European counterparts as soon as possible over the inevitable shake-up that will affect GM Europe and its 54,000 staff. The GM deal gives Magna 55% of the new-look European car maker which includes the UK Vauxhall brand and Opel on mainland Europe.

The US parent will retain 35% and a 10% stake will be controlled by the workforce.

Magna is believed to have paid 45m euros for the business, but is seeking 4.5bn euros of support from governments around Europe with GM plants.

Fritz Henderson, GM President and Chief Executive, announced the deal which is the culmination of five months of talks between bidders, GM and governments.

He said GM’s stake will ensure continuity, saying: “GM will continue to closely collaborate with Opel and Vauxhall to develop and produce more great cars, such as the new Astra.”

Ellesmere Port’s 2,200-strong workforce is currently building the new Astra, but unions are concerned that Magna has given no guarantees on the plant’s future beyond the latest model, or its chances of building a new electric-powered vehicle, the Ampera.

Mr Fetherstone said: “Magna told us their business plan was for 125,000 cars a year – which is not three shifts-worth – and 840 job losses.

“Normally, we would be looking to build 190,000 cars a year.

“We have real concerns.

“They gave no guarantees on the Ampera, either.”