Falkirk district’s economy is set to receive a welcome boost if Spanish firm Talgo proceed with plans to establish a £40million train-building factory at Longannet in Fife, creating at least 1000 jobs.

Falkirk West MSP Michael Matheson has welcomed the announcement that the former power station is the company’s preferred site for the proposed facility.

The plan is subject to Talgo securing a contract to build trains for the HS2 high-speed railway in England. Construction of the factory at Longannet could start in early 2020.

Mr Matheson, who is the Cabinet Secretary for Transport, Infrastructure and Connectivity, attended Talgo’s announcement in London last week.

He said: “This proposed investment is a significant achievement for Scotland and yet another endorsement of our country’s attractiveness to international investors.

“Should Talgo be successful in its bid to win the contract for HS2 rolling stock, this new factory at Longannet, which is within easy commuting distance of Falkirk, will create a large number of skilled jobs and be a welcome boost for the local area.

“What’s more, the economic impact of such an investment, and the supply chain opportunities it would bring, would be felt right across Scotland.

“The Scottish Government is committed to working with Talgo and our public and private sector partners to ensure maximum benefit from the opportunity this proposed investment represents.”