Bombardier's Litchurch Lane plant in Derby - where about 3, 000 people are employed - is the last rolling stock manufacturer in the UK with a 150-year history.
The West of England Partnership said it had been told in government talks there would be no investment in rolling stock during an interim two-year franchise.
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The slate roofs of the Bombardier factory testify to its Victorian heritage: rolling stock has been manufactured at the site since the mid-19th century.
It may also be an expensive one, as subsidies may have to be offered as an incentive - short-term contracts are not an attractive proposition when long-term assurances are needed for things such as leasing rolling stock.
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