"The attack, which began on 1 September, paralysed JLR's key computer systems and halted production across its UK operations. The company was only able to restart limited manufacturing in early October and expects full output to resume by early December. Liam Byrne, chair of parliament's business select committee, has written to Business Secretary Peter Kyle seeking clarification on whether JLR ever requested to use the funds and whether any of the money has reached suppliers. Suppliers have privately voiced frustration at the government's messaging, which appeared to suggest ministers had provided emergency cashflow assistance."
"While JLR has launched its own support scheme to pay suppliers upfront, this initiative has been financed entirely from the company's existing cash reserves, not government-backed credit. On the eve of the Labour Party conference in late September, Peter Kyle announced that UK Export Finance (UKEF) - the government's export credit agency - would guarantee up to £1.5 billion in loans to JLR, covering 80 per cent of any potential default. The package, Kyle said, was designed to "support JLR's supply chain which has been greatly impacted by the shutdown"."
Jaguar Land Rover has not drawn down any of a £1.5 billion loan facility guaranteed by the state, prompting scrutiny and anger from suppliers. A cyberattack beginning on 1 September paralysed JLR's key computer systems and halted production across UK operations, with limited manufacturing restarting in early October and full output expected by early December. Liam Byrne has sought clarification from Business Secretary Peter Kyle on whether the funds were ever requested or reached suppliers. Suppliers say government messaging suggested emergency cash assistance that did not materialise. JLR has paid suppliers upfront from its own cash reserves while the government said UKEF would guarantee up to £1.5 billion to support the supply chain.
Read at Business Matters
Unable to calculate read time
Collection
[
|
...
]