Aston Martin Lagonda has announced plans to cut 20% of its workforce, approximately 500 jobs, in a bid to save £40m after reporting pre-tax losses of £363.9m for 2025. The luxury carmaker, majority-owned by Canadian billionaire Lawrence Stroll, said the redundancies follow a previous reduction of 170 jobs at the start of 2025.
The company described the decision as difficult, stating that the latest programme will ultimately see the departure of up to a fifth of its valued workforce. Chief executive Adrian Hallmark acknowledged that job cuts alone would not solve the company's rightsizing needs but were an important part of the overall picture.
Aston Martin's losses widened from £289.1m in 2024, driven by US tariff increases, weak demand, and subdued conditions in China. The carmaker issued its fifth profit warning since September 2024 and sold permanent naming rights to its Formula One team. Shares have plummeted since a disastrous stock market float in 2019.
The company cited Donald Trump's trade tariffs as a major factor, calling 2025 one of its most turbulent years in recent times. It noted that even resilient luxury brands are not insulated from geopolitical friction and trade barriers. Internal issues, including declining sales volumes and production challenges, were also highlighted by analysts.
Equity analyst Aarin Chiekrie of Hargreaves Lansdown warned that asset sales and staff cuts are only part of the puzzle, and long-term success will rely on reversing declining sales and improving efficiencies. He cautioned that drastic workforce reductions could make a significant ramp-up in volumes hard to achieve.
