By Ali Lyon,Kirsty Wiggleswort
Copyright cityam
Jaguar Land Rover will restart some of its manufacturing operations in the coming days, the carmaker has said, over a month after it was forced to shut down its plant to deal with a brutal cyber attack that has left dozens of its suppliers on the brink of failure.
In a statement released on Monday, the firm said it had started telling those affected by the shutdown that part of their production will be up and running, dispelling fears that the standstill could have dragged on for another month.
“Today we are informing colleagues, retailers and suppliers that some sections of our manufacturing operations will resume in the coming days,” the statement said.
“We continue to work around the clock alongside cybersecurity specialists, the UK government’s NCSC and law enforcement to ensure our restart is done in a safe and secure manner.”
The encouraging update comes just days after ministers agreed to underwrite a £1.5bn loan guarantee for the UK’s largest carmaker, in a bid to stave off the failure of several firms in its complex supply chain that have been left on the brink by the crippling attack.
A commercial bank will provide the capital for the loan to Jaguar Land Rover, which the automaker will then allocate to suppliers most in need.
Government backs Jaguar Land Rover
Business secretary Peter Kyle said on Saturday: “Following our decisive action, this loan guarantee will help support the supply chain and protect skilled jobs.”
The facility represents the first time that a company has been granted government support to respond to a cyberattack, and has sparked fears of setting a ‘moral hazard’ precedent, and encourage companies not to take out insurance against cyber attacks.
Liam Byrne, chair of the Business and Trade Select Committee, told the Financial Times that the loan was “the right thing” to safeguard thousands of jobs and save the UK’s automotive sector from collapse.
“Going forward, there is a real risk of moral hazard,” he added. “As a country, we’re going to have to remake the way the state and market work together to try and safeguard British industry against these kinds of risks.”
Jaguar Land Rover’s statement did not say which parts of JLR’s factory output will restart first, nor exactly when the production line would be fired up.
It is understood the firm will opt for a phased restart, and it could be several weeks before production lines are operating at full capacity.
