Jaguar Land Rover (JLR) has extended its production pause until 1 October following a cyber-attack on 31 August, with the shutdown now impacting the UK manufacturing sector. The business secretary, Peter Kyle, and industry minister Chris McDonald met employees from JLR and its suppliers on Tuesday to assess the fallout, amid growing calls for financial support for affected businesses.
A monthly survey of purchasing managers showed UK manufacturing output shrinking at the fastest pace in six months in September, with order books weakening partly due to the JLR shutdown. The data provider S&P Global noted mentions of lower output across the automotive supply chain as a result of the plant stoppages.
Workers have been unable to produce vehicles at any of JLR's factories in the UK, Slovakia, Brazil and India. Unions have called for a furlough scheme to support workers suffering from the shutdown, but UK ministers have not yet committed to financial support, despite reports that JLR has sought emergency aid for its suppliers.
Labour MP Antonia Bance warned that an extended pause risked disintegration of the supply chain, as some businesses may lose skilled labour or go under. She suggested a loans scheme similar to the coronavirus business interruption loan scheme. McDonald said the government's priorities are helping JLR restart and ensuring the long-term health of the supply chain, but added that support should be led by businesses themselves.
JLR, owned by India's Tata Motors, said it had made the decision to extend the pause to provide clarity as it builds a timeline for a phased restart. The company is working with cybersecurity specialists, the National Cyber Security Centre and law enforcement to resume operations safely.
