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Jaguar Land Rover rescued with £1.5bn government-backed loan after crippling cyber attack

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The government will underwrite a £1.5bn loan guarantee to Jaguar Land Rover (JLR) after a mass cyber attack forced a shutdown.

JLR suspended production at its UK factories following the attack on 31 August. The shutdown is expected to last until 1 October, leaving the largest UK carmaker’s suppliers in limbo.

The loan is expected to give suppliers some certainty amid the continued shutdown, as the £1.5bn will help bolster JLR’s cash reserves as it pays back companies in its supply chain.

The government will give its backing to the loan through the Export Development Guarantee (EDG), a financial support mechanism aimed at helping British companies that sell their goods overseas.

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JLR shutdown extended

The £1.5bn loan, from a commercial bank, will be paid back over five years.

“Following our decisive action, this loan guarantee will help support the supply chain and protect skilled jobs in the West Midlands, Merseyside and throughout the UK,” Business Secretary Peter Kyle said.

Chancellor Rachel Reeves added: “Jaguar Land Rover is an iconic British company which employs tens of thousands of people – a jewel in the crown of our economy.

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“Today we are protecting thousands of those jobs with up to £1.5bn in additional private finance, helping them support their supply chain and protect a vital part of the British car industry.”

Rachel Reeves, during a visit to Jaguar Land Rover in Birmingham with Prime Minister Sir Keir Starmer. File pic: PA
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Rachel Reeves, during a visit to Jaguar Land Rover in Birmingham with Prime Minister Sir Keir Starmer. File pic: PA

As a result of the attack, production was halted across the car-making supply chain, with thousands of staff off work.

More than 33,000 people work directly for JLR in the UK, many of them on assembly lines in the West Midlands, the largest of which is in Solihull, and a plant at Halewood on Merseyside.

An estimated 200,000 more are employed by several hundred companies in the supply chain, who have faced business interruption with their largest client out of action.

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Inside factory affected by Jaguar Land Rover shutdown

Ministers have had daily contact with JLR and cyber experts following the attack as the company attempts to restart production at its UK factories.

Unions and politicians have warned that small suppliers producing parts for JLR could collapse as a result of the shutdown unless they receive urgent financial support.

This week, Mr Kyle met workers and bosses at Webasto, which makes sunroofs for JLR.

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Peter Kyle visits the JRL supplier Webasto in Sutton Coldfield in the West Midlands. Pic: PA
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Peter Kyle visits the JRL supplier Webasto in Sutton Coldfield in the West Midlands. Pic: PA

The brand has the largest supply chain in the UK automotive sector, which employs around 120,000 people and is largely made up of small and medium-sized businesses.

The government’s promise of underwriting the JLR loan has been praised by the Unite union, whose general secretary Sharon Graham said the loan was “an important first step and demonstrates that the government has listened to the concerns raised in meetings with Unite over recent days”.

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Are we in a cyber attack ‘epidemic’?

She added: “This is exactly what the government should be doing, taking action to protect jobs.

“The money provided must now be used to ensure job guarantees and to also protect skills and pay in JLR and its supply chain.”

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SF calls for €100k NMH bike shed tender to be scrapped

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Sinn Féin has called for a tender for a new €100,000 bike shed at the National Maternity Hospital to be scrapped.

A notice on the Government’s e-tenders website invites submissions for tenders to destroy the old shed and build a new one at an estimated cost of €100,000.

Sinn Féin’s Finance Spokesperson Pearse Doherty labelled the plan for a new bike shed as “outrageous” and referenced a previous controversy when €335,000 was spent on a bike shed at Leinster House.

The €100,000 tender for the proposed bike shed at the National Maternity Hospital includes destroying the existing bike shed and taking away all rubbish.

It is to cover the build of the replacement shed and includes sensor lighting.

It also covers improvement to the ground so that it is entirely even and any tree stumps that are in the way are removed.

In May, a report into the bicycle shelter installed at Leinster House found that there was an “absence of some fundamental good practices”, including a value for money assessment, ahead of the project’s construction.

The conclusion is made in a Deloitte audit for the Office of Public Works.

The audit was sought by the Government and the OPW after Opposition outcry over the bike shelter.

The costs include €284,000 spent on construction and installation, €10,000 on contract administration and €4,000 on archaeological services.

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Double gold for Irish rowers at World Championships

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There was double gold joy for Ireland at the World Rowing Championships in Shanghai as Fiona Murtagh in the women’s singles and Fintan McCarthy and Mags Cremen in the mixed double sculls both assumed top place in their respective podiums.

In the single sculls, Galway woman Murtagh, part of the historic Women’s Four that won bronze at the Tokyo 2020 Olympic Games, led from start to finish.

Despite leading right through, the 30-year-old was pushed all the way by Great Britain, with Lauren Henry powering through the final 500m to be pipped by just three hundredths of a second.

It continues Ireland’s fine tradition in the event courtesy of Sanita Puspure, a two-time World and European Champion in the discipline.

Half an hour later Fintan McCarthy claimed his second medal of the Championships in the mixed double sculls alongside Cremen.

Having taken bronze in the men’s double sculls alongside Philip Doyle, McCarthy partnered up alongside Cremen as Ireland was represented in the event for the first time.

It was the Swiss crew that made the early running, but the Irish boat soon found their rhythm to move to the front. It was the Dutch boat that competed all the way to the line, with McCarthy and Cremen winning by .7 of a second in a time of 6:22.24.

McCarthy’s twin Jake won bronze in the men’s lightweight singles on Saturday.

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Russia launches major drone, missile attack on Ukraine

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Kyiv has come under heavy drone and missile bombardment this morning, in what independent monitors said was one of the biggest Russian attacks on the Ukrainian capital and surrounding region since the war began.

At least three people were killed and about ten injured in the city, the head of Kyiv’s military administration said on the Telegram messaging app.

Ukrainian Foreign Minister Andrii Sybiha said Russia had launched a “massive” air attack on the country involving hundreds of missiles and drones.

He said the attack underlined the need for more punitive sanctions against Russia to force it to stop its aggression.

“Putin must feel the danger of continuing this war – personally for him, his buddies’ pockets, his economy, and his regime,” he posted on X, referring to Russian President Vladimir Putin.

“That is what can make him stop this senseless war.”

Several other regions were also hit in the strike, with at least 16 people, including three children, injured in the southern city of Zaporizhzhia, authorities said.

Several buildings were damaged and on fire in Zaporizhzhia, footage posted on social media channels in the area showed.

In Kyiv, drones flew over the city and anti-aircraft fire rang out for several hours, according to Reuters witnesses. Loud explosions were also heard. The attack was continuing as of 9.15 local time (7.15 Irish time).

Kyiv’s Mayor Vitali Klitschko said a fire had broken out at a state cardiological hospital as a result of the attack.

Some residents fled to metro stations deep underground for safety, sleeping on makeshift beds or sitting on deck chairs following events on their phones.

Neighbouring Poland closed airspace near two of its southeastern cities and its air force scrambled jets in response.

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