Britain has announced a £1.5 billion ($2 billion) loan guarantee for Jaguar Land Rover (JLR) to safeguard its supply chain, following nearly a month-long production shutdown caused by a cyberattack.
The government said the move was crucial to protecting small suppliers, many of whom warned they were only weeks away from running out of cash. JLR, owned by India’s Tata Motors, operates three factories that together produce around 1,000 cars daily. The plants are key employers in Birmingham, Britain’s second-largest city, and Liverpool, in the north.
A recent survey revealed that some suppliers had already begun cutting staff hours or making redundancies amid the disruption.
Business Minister Peter Kyle described the cyberattack as “not only an assault on an iconic British brand, but on our world-leading automotive sector.” He said the government’s support would “help sustain the supply chain and protect skilled jobs.”
The loan will be financed privately but backed by the UK’s export credit agency, UK Export Finance, the ministry confirmed. Officials expect the guarantee to unlock the full £1.5 billion in support for the carmaker’s suppliers.
JLR’s prolonged shutdown underscores the vulnerability of modern manufacturing to cyber threats and the ripple effects across supply chains.
Melissa Enoch
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