Jaguar Land Rover (JLR) has announced plans to cut fewer than 300 jobs in its UK operations as part of a cost-saving and business transformation effort following a major cyber attack and ongoing market challenges.
The carmaker, which employs around 30,000 people in the UK, expects the reductions to affect salaried and management roles rather than production line staff.
Cyber Attack Impact
The cyber attack in September 2025 forced a shutdown of all manufacturing for several weeks, causing a 27% drop in production and an estimated £1.9 billion loss.
This disruption severely impacted JLR's profitability, with profits dropping from £2.4 billion last year to just £14 million this year.
Kevin Morley, a former Rover boss and Aston Business School professor, said the job cuts "are not a disaster, but it's not good news for the 300 people."
He noted that JLR faces broader industry challenges, including competition from China and tariffs on sales in the US.
"They sell a lot in America, where the tariffs are impacting them, but I discovered that the average Range Rover sold in America is $100,000 plus, so an extra 10% won't make a huge amount of difference," Morley said.
He highlighted the shift toward electric vehicles as a significant factor, explaining that many electric cars come from China and require fewer workers to assemble.
"The big issue is electric vehicles because they seem to be streaming in from China and electric vehicles need less people to put them together," Morley said.
Morley also expressed concern about Jaguar's transition to an all-electric brand, noting the potential disconnect with its traditional customer base.
"Your standard Jaguar buyer is over 50 and is used to petrol or diesel," he said. "This newfangled electric stuff is not his or her cup of tea."
JLR stated it is transforming its business to accelerate growth and improve performance, including launching a limited redeployment and displacement program to support affected employees with alternative roles or voluntary redundancy options.
The company plans to reduce costs by about £1.7 billion over the coming years through savings in materials, warranty, and fixed costs to aid recovery from the cyber attack.
