Jaguar Land Rover has begun a phased restart of manufacturing at its Wolverhampton engine plant, following a major cyberattack that halted production in early September. The company introduced a new financing scheme to pay suppliers faster, easing their cash flow challenges during the recovery phase. Broader plant restarts will follow in the coming weeks.
Jaguar Land Rover (JLR) has initiated a phased restart of its manufacturing operations across key UK facilities as part of its recovery plan following a severe cyberattack that disrupted production in early September 2025. The company is also implementing a new financing scheme aimed at bolstering cash flow for its suppliers by providing prepayment and faster payments to support their liquidity during this challenging period.
Phased Restart of Manufacturing Operations
The initial resumption is underway at JLR’s engine manufacturing plant in Wolverhampton, with plans for other facilities like Solihull and Halewood to follow gradually over the coming weeks.
The phased approach aims to return plants to full capacity efficiently while ensuring cybersecurity measures are in place.
New Supplier Financing Scheme
Qualifying suppliers will now receive majority prepayments shortly after placing orders and a final true-up payment upon invoicing, offering significantly faster payments than standard terms.
This scheme provides cash-up-front assistance during the restart phase, helping suppliers manage their cash flow and avoid liquidity crises.
Financial Support & Government Backing
JLR is also preparing a £500 million private loan to support its suppliers, separate from a £1.5 billion government-backed guarantee aimed at safeguarding jobs and supply chain stability.
The UK government stepped in to prevent potential supplier bankruptcies by offering financial guarantees and support initiatives.
Industry & Economic Impact
The cyberattack caused an estimated daily revenue loss of £5-10 million with total potential costs of billions, highlighting the importance of resilient supply chains in the automotive sector.
The recovery efforts underscore the critical role of JLR in the UK automotive industry, employing approximately 30,000 directly and supporting about 100,000 across its supply chain.
Sources: BBC News, Sky News, The Register, Economic Times, Bloomberg, Reuters, Yahoo Finance