The UK manufacturing sector has recorded its steepest decline in six months, with output hit hard by a cyber-attack on Jaguar Land Rover (JLR). The shutdown, which began on 31 August, has forced Britain’s biggest carmaker to pause production until 1 October, disrupting supply chains and worsening pressures across the sector.
A monthly survey of purchasing managers revealed that UK manufacturing output shrank at the fastest pace since March. Order books weakened significantly, with S&P Global noting “specific mentions of lower manufacturing output across the automotive supply chain as a result of plant stoppages at Jaguar Land Rover.” The headline manufacturing index slipped to a five-month low, highlighting the broader economic fallout.
JLR Shutdown Extends Into October
JLR, owned by India’s Tata Motors, has confirmed that production remains suspended at all its plants in the UK, Slovakia, Brazil, and India. Unions have urged the government to introduce a furlough-style scheme to support workers affected by the shutdown. However, UK ministers have so far avoided committing to financial support, despite concerns that smaller suppliers could face collapse.
Government Response and Industry Concerns
Business Secretary Peter Kyle and Industry Minister Chris McDonald are visiting JLR to meet suppliers and workers. McDonald said the government’s priorities were “helping Jaguar Land Rover get back up and running as soon as possible and ensuring the long-term health of the supply chain.”
Labour MP Antonia Bance warned that the extended pause risked a “disintegration of the entire supply chain into JLR,” potentially leaving the company without key partners when production resumes. She urged the government to consider a loan scheme similar to those offered during the pandemic.
JLR Working With Cybersecurity Specialists
A JLR spokesperson said the company is working with the National Cyber Security Centre (NCSC) and law enforcement to investigate the cyber-attack and ensure a safe restart. “We fully recognise this is a difficult time for all connected with JLR and we thank everyone for their continued support and patience,” the statement read.
The company added that its focus remains on supporting customers, suppliers, and retailers while building a timeline for a phased restart.
