Published: Fri, April 13, 2018
Business | By Kate Woods

UK Anti Diesel Rules Costs 1000 Jaguar Workers Their Jobs

UK Anti Diesel Rules Costs 1000 Jaguar Workers Their Jobs

Despite the reported job losses, JLR says it plans to continue to recruit "large numbers of highly skilled engineers, graduates and apprentices".

The UK auto industry, which employs 169,000 people, has warned that thousands of UK jobs are at risk because of the tax increase and a backlash against diesel vehicles on environmental grounds.

Growth was driven by a 19.9 per cent hike in the Chinese market, while sales in North America and other overseas territories were up by 4.7 per cent and 3.4 per cent respectively. But while worldwide sales boomed, United Kingdom sales fell 15.8% because of weakening consumer confidence.

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The auto giant has cited "continuing headwinds" impacting the vehicle industry for the decision. "We also remain committed to our United Kingdom plants in which we have invested more than £4bn since 2010 to future proof manufacturing technologies to deliver new models".

The company, which employs 40,000 people in the United Kingdom, will move some workers from its factory at nearby Castle Bromwich to fill gaps left by the cuts at Solihull.

A spokesperson said: "As is standard business practice, Jaguar Land Rover regularly reviews its production schedules to ensure market demand is balanced globally".

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Last year, JLR's British plants - which also includes the factory in Halewood - produced 532,107 vehicles last year.

The cuts are understood to have been triggered by a 26% drop in JLR sales in the United Kingdom in the first three months of 2018. A source told the Reuters news agency that 1,000 roles would be cut.

Dom Tribe, automotive sector specialist at management consultancy Vendigital, said: 'This decision by Jaguar Land Rover is a further sign of ongoing uncertainty in the automotive industry. Many of them are based at the Solihull facility.

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In a statement, JLR referred to Brexit and diesel taxes obliquely as "headwinds". Diesel cars make up around 90 per cent of JLR's production output in the United Kingdom and the company is behind the curve with regards to bringing hybrid and all-electric alternatives to market'.

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