Jaguar Land Rover to cut production and staff in Solihull

Jaguar Land Rover to cut production and staff in Solihull

Britain's biggest carmaker is understood to be cutting output and not renewing the contracts of agency staff at its Solihull plant, while hundreds of permanent staff could be switched from its Castle Bromwich site to Solihull.

Full details of the auto manufacturer's plans will be announced on Monday, according to insiders.

The company said in a statement that "continuing headwinds" have forced it to make "adjustments to production schedules and the number of agency staff".

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

He said: "JLR appears to be especially exposed as over 90 per cent of sales are diesel".

Solihull is home to the Jaguar XE, the Range Rover, the Land Rover Discovery and the Range Rover Sport, and now employs over 10,000 people.

'We also remain committed to our United Kingdom plants in which we have invested more than £4 billion since 2010 to future proof manufacturing technologies to deliver new models'. There are 3,200 people employed at the Castle Bromwich site and a further 10,000 at Solihull.

A spokesperson for Jaguar Land Rover (JLR) said the firm regularly reviews its production schedules "to ensure market demand is balanced globally".

Earlier this year, it said it would cut production amid uncertainty over Brexit and changes to taxes on diesel cars. As an industry in which investment is heavily reliant on forward planning, industry bodies have been lobbying extensively for greater clarity around a Brexit trade deal. Many of them are based at the Solihull facility.

Longstanding effects of the ongoing diesel emissions scandal, which include the raising of tax on diesel cars, has driven down demand for diesel cars so that they now represent just 33.5% of the new vehicle market - a 10.5% decrease on a year ago.