Derby-based Bombardier have today signed a deal worth £180 million for carriages which will serve London's busiest commuter routes.
A rail magazine has reported that two of the three people suspended over the West Coast bid also worked on the Bombardier bid.
Hundreds of train service staff at a Bombardier plant in Staffordshire are going on strike in a dispute over pay.
A Derby MP has begun a parliamentary petition calling for an independent audit over the government's decision to award the Thameslink contract to Siemens and not Bombardier.
Chris Williamson has tabled an Early Day Motion to ask why workers in his Derby constituency were overlooked for the £1.6 billion Thameslink deal.
The motion also raises questions over the long delay and cost of the contract. Campaigners are now urging the government to award the contract to build trains for the Cross Rail project in London to Bombardier, as proof of their commitment to UK manufacturing.
– Department for Transport statement
The deal to build 1,140 new carriages for use on the Thameslink rail line came a step closer to completion today as the Department for Transport confirmed its decision to award the £1.6bn contract to a consortium led by train manufacturer Siemens.
Before the contract award can take place there will now be a pause known as the Alcatel standstill period which will last at least ten days.
The £1.6 billion rolling stock project is part of a £6 billion upgrade to radically increase capacity and reliability on one of Europe’s busiest stretches of railway.
The Labour MP for Derby North, Chris Williamson, has criticised the decision to award the £1.6bn Thameslink contract to Siemens.
On his Twitter account, Mr. Williamson said:
The Department for Transport has confirmed that Bombardier has lost out on the £1.6bn contract to Siemens.
It also confirmed the deal is in the Alcatel standstill period and will not be formally announced for ten days.
Bombardier will not be confirmed as losing the Thameslink contract for another ten days according to reports.
German firm Siemens will only then be confirmed as the winners of the contract due to a legal requirement known as the Alcatel standstill period.
This allows time for unsuccessful bidders to challenge the decision.
There are reports that Derby-based company Bombardier has lost out on the £1.6bn Thameslink contract putting jobs under threat.
Around 1,400 jobs have already been lost since German firm Siemens was originally announced as the preferred bidder to provide the 1,200 carriages two years ago.
The Government's controversial decision to award a train building contract to a German firm instead of Derby firm Bombardier has again come under fire.
The Department for Transport has yet to sign the deal with Siemens for the upgrade of the Thameslink trains and now MPs are again questioning why the contract wasn't given to Bombardier.
Our political correspondent Emma Hutchinson joined us from London.
A public spending watchdog (National Audit Office) has warned that repeated hold ups to one billion pound contract to replace Thameslink rolling stock could cast doubt on the Government's ability to deliver the project by 2018.
Margaret Hodge, who chairs the Commons Public Accounts Committee, raised fears that the Department for Transport (DfT), was "doomed to repeat history".
She said: "I am concerned at this stage in the project, given the lengthy delays, that the department has left itself with little contingency should anything go wrong. It needs to plan ahead and make sure it avoids another West Coast Main Line-style fiasco."
In 2011 the Government awarded the controversial contract to German firm Siemens instead of Derby-based trainmaker Bombardier, which was forced to shed 1,400 jobs and put the long-term future of the historic works in jeopardy.
But the contract has still not been signed, despite the Government saying it was a matter of urgency and repeatedly claiming it was about to be completed.
The 57 new train carriages for London Overground will be built in Derby. Delivery will begin in late 2014 and will finish in 2015.
The Derby-based company Bombardier has announced it has signed a contract with Transport for London to build 57 rail carriages for the London Overground network. The new cars will be used to turn current four-car trains into five-car versions.
The cost of the order is around £88 million.