(2 weeks, 4 days ago)
Commons Chamber
Blair McDougall
I thank the hon. Member for those questions. She mentioned the cyber-attack and the £1.5 billion guarantee we gave to stand behind Jaguar Land Rover. That guarantee is still in place; it is there as a form of market reassurance for the company. JLR has not drawn on it yet, but it has served its purpose in reassuring the market.
The company is clear that that is only one of the factors; it is as much about challenges in the Chinese market and global trade challenges. The hon. Member rightly asked about the relationship with Europe. I reassure her that at posts in capitals across Europe, Ministers, like me, are constantly engaging with member states and their representatives both on rules-of-origin issues and on the “made in Europe” agenda. One of the encouraging things we see in that process is those arguments being made not only by our industry but by the deeply interconnected other side of the supply chain across the channel with member states. I reassure her that we are working hard on that.
There is concern about this news among my constituents who work at JLR Halewood and those who work in the supply chain in the whole of the north-west of England. The five-week suspension of manufacturing last year as a consequence of the cyber-attack has left a legacy of concern about the future and about financial resilience issues for some companies. What steps is the Minister taking to ensure that the full impact of this announcement on the supply chain is mitigated as much as possible and that resilience in our automotive supply chain is boosted for the future?
Blair McDougall
I know how important Jaguar Land Rover is for my right hon. Friend’s constituents; she voices their concern constantly on their behalf. Jaguar Land Rover has been clear that the job losses are focused largely on back-end and management staff and that the productive staff will not be impacted. That should be a source of encouragement and reassurance to the wider supply chain.
We are investing a huge amount into that wider supply chain. A moment ago I mentioned Agratas, where the £380 million investment leverages in £5 billion of investment. I could just as easily talk about the supply-chain pilots through DRIVE35 to ensure that the competitive edge and excellence we have in automotive engineering survives this global challenge period and we come out of it still as a productive and proud car-making nation.