Government Eyes Financial Support for Jaguar Land Rover Amid Cyberattack Fallout
Britain considers supporting Jaguar Land Rover's suppliers after a cyberattack extended shutdowns. The carmaker, impacted by the attack, faces a £50 million weekly loss, affecting 33,000 staff. Government-backed loans, buying parts, and restarting production are being discussed. JLR aims to resolve payment delays to suppliers swiftly.
Britain's government is exploring measures to financially assist Jaguar Land Rover's (JLR) suppliers as the company grapples with an extended shutdown due to a cyberattack, according to a government source. The attack has forced JLR to halt operations until October, severely impacting its production capabilities and financial stability.
JLR, owned by India's Tata Motors, operates three factories in Britain, collectively producing approximately 1,000 cars daily. The BBC reports that the ongoing shutdown results in a weekly loss of £50 million, affecting around 33,000 workers who have been asked to stay home. Business Minister Peter Kyle and Industry Minister Chris McDonald have engaged with JLR's CEO to discuss a path towards resuming operations.
Among the options under consideration are government-backed loans for suppliers and proposals where the government would purchase component parts to assist suppliers until production resumes. JLR has managed to bring some systems back online, particularly those managing global supply and financial transactions. The company is focusing on clearing overdue payments to suppliers, prioritizing those most in need.
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