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JLR Begins Phased IT Restart as UK Ministers Weigh Support for Stricken Suppliers

Government deliberations focus on short‑term lifelines for suppliers facing acute cash‑flow strain.

Overview

  • JLR says parts of its digital estate are back online, boosting invoicing capacity to clear a roughly £300m payment backlog and restoring parts logistics and wholesale finance to improve cash flow.
  • Factory production at Solihull, Halewood and Wolverhampton remains paused until at least October 1, with normal output of about 1,000 vehicles per day on hold.
  • Ministers are considering targeted measures such as buying components to resell when production restarts, government‑backed loans and stockpiling parts, while a furlough‑style scheme is not expected.
  • A Chambers of Commerce survey found 77% of 84 firms affected, with 45% reporting significant financial hits, 35% reducing hours and 14% making redundancies, as MPs heard some suppliers have about one week of cash left.
  • Reports indicate JLR may not have had cyber insurance in place, and external estimates put lost revenue in the £1.7–£2.2bn range to date, with Tata Motors shares slipping on the exposure.