Jaguar Land Rover job cuts confirmed as minister rules out bailout

Jaguar Land Rover has confirmed it is opening a voluntary redundancy programme, a year on from a cyber attack that halted production for more than a month.

The Coventry-headquartered carmaker said it needs to save around £1.7bn over the next two years to adapt to “evolving global market conditions.” The Times reported on Saturday that as many as 4,000 jobs could be lost due to the impact of tariffs and a drop in sales, though JLR told the BBC it has not confirmed specific numbers.

A JLR spokesperson told the BBC the company had informed colleagues and trade union partners that it is opening a voluntary redundancy programme offering salaried and management team members the opportunity to leave the business, aimed at simplifying the organisation, improving efficiency and building greater resilience.

Unite general secretary Sharon Graham said the union has been warning about a “perfect storm” hanging over the automotive industry for some time, adding that “death by a thousand cuts” has continued under successive governments.

She said there had been intensive discussions over the weekend about mitigating job losses, with plans for her and Business Secretary Jonathan Reynolds to meet JLR chief executive PB Balaji next week. Unite national officer Des Quinn said the union is working to deliver the best possible outcome for members during what he called an incredibly worrying and stressful time for JLR workers.

Reynolds told the BBC’s Sunday with Laura Kuenssberg the meeting will focus on ways to mitigate job losses, but ruled out a bailout for the company. He said a company the size of JLR would see its workforce change at various points in its business cycle, and that the priority is ensuring the workforce is right to make the business as competitive as possible. He said there would be no support “if it’s to bail people out,” but left the door open to long-term investment in the company’s future.

A government spokesperson said significant action had already been taken to support the UK automotive industry, including lowering electricity bills for manufacturers and financial support for zero emission vehicle production and sales. Reynolds is understood to have spoken with West Midlands mayor Richard Parker about supporting the business and its staff.

JLR employs around 30,000 people in its UK operations, with its global headquarters at Whitley, Coventry, and manufacturing sites in Solihull and Wolverhampton, as well as Halewood on Merseyside.

The company’s September 2025 cyber attack shut down all UK manufacturing for several weeks, contributing to a 27% drop in overall production and an estimated total cost of £1.9bn.

The £1.7bn savings target was first flagged alongside JLR’s first-quarter results in August, when the company reported revenue down 9.6% to £6bn and profit before tax and exceptional items falling to £109m, from £351m a year earlier.