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The brand new UK passport to be issued after Brexit can be made in France, in accordance with the present British producer.
The burgundy passport, in use since 1988, will revert to its unique blue and gold color from October 2019.
The boss of UK provider De La Rue stated Franco-Dutch agency Gemalto had gained the £490m contract.
The Residence Workplace stated a profitable bid had been chosen however it was as much as the provider to announce the information.
It stated the deal might save the taxpayer £100m-£120m and that 70 new jobs can be created within the UK, at websites in Fareham and Hayward.
Gemalto, which has its headquarters in Paris and has a manufacturing unit in Fareham, stated it was conscious of the studies relating to the contract to supply the brand new UK passport.
Nevertheless it added: “As the method continues to be ongoing and the phrases of engagement are confidential, we can’t make any additional touch upon it at this stage.”
Earlier, De La Rue boss Martin Sutherland advised the BBC’s Today programme: “Over the previous few months we’ve got heard ministers pleased to return on the media and speak concerning the new blue passport and the truth that it’s an icon of British id.
“However now this icon of British id goes to be manufactured in France.”
He added: “I might wish to ask Theresa Might or Amber Rudd to return to my manufacturing unit and clarify to our devoted workforce why this can be a smart determination to offshore the manufacture of a British icon.”
Beneath EU procurement guidelines, the Residence Workplace had been required to throw open the bidding course of to European companies.
The House Workplace added that passports didn’t should be made within the UK and 20% of clean passport books are presently produced in Europe.
A spokeswoman for the division stated: “The chosen firm demonstrated that they are going to be greatest capable of meet the wants of our passport service with a top quality and safe product at the perfect worth for cash for our clients and the taxpayer.”
De La Rue, which has held the contract to fabricate British passports since 2009, stated it it had been “undercut on worth” by Gemalto.
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Mr Sutherland stated it was unclear whether or not jobs on the agency’s Gateshead manufacturing unit can be affected. De la Rue employed greater than 600 employees on the website final yr.
The corporate issued a revenue warning on Tuesday, which triggered a pointy fall in its share worth.
By Thursday afternoon, the shares have been down an extra four.eight%.
Brexit-supporting MPs hailed the choice to return to the blue and gold passport, first utilized in 1921, after the UK leaves the EU for instance of the UK taking again management.
In December, the prime minister tweeted it will be “an expression of our independence and sovereignty”.
Nevertheless, professional-Brexit former cupboard minister Priti Patel stated the choice handy the brand new contract to a overseas agency was “disgraceful” and “perverse”.
The Liberal Democrats’ Brexit spokesman, Tom Brake, stated: “The blue passport saga is popping right into a farce. First it was established that we didn’t have to go away the EU to have blue passports. Now we study that the passports shall be printed by a overseas firm.
“And so as to add insult to damage, we can pay over the chances for them as a result of the worth of the pound has fallen since Brexit they usually should be imported.”
Present passport holders will proceed to make use of their present burgundy passports till they expire.
The House Workplace points greater than six million passports yearly and is the one supplier of passports to British residents.
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