𝓤𝓷𝓲𝓽𝓮𝓭 𝓝𝓮𝔀𝓼

Andy Burnham has been accused of “sacrificing British jobs” after UK-based carmaker Jaguar Land Rover (JLR) confirmed it was axing 4,000 roles. The majority of cuts are set to affect UK operations, where about 34,000 staff work at sites in the West Midlands and Merseyside.

Conservatives highlighted the impact of government rules outlawing the sale of new fully petrol and diesel vehicles from 2030, and hybrid vehicles from 2035. Carmakers are already required to ensure that 33% of new car sales are electric vehicles under the Zero Emission Vehicle (ZEV) Mandate, but have struggled to convince motorists to switch.

JLR is also reeling from the impact of a five-week shutdown last year caused by a cyberattack blamed on Russia. In June, the firm announced it planned to cut about £1.7billion in costs over the coming years to help towards its recovery from the attack.

Shadow Transport Secretary Richard Holden said: “Conservatives, business and the unions are clear – the ZEV mandate and punishing energy costs are crippling the British automotive industry. But Labour are not listening.

“Labour ministers refuse to review a mandate that fines manufacturers for failing to sell cars British families do not want to buy, all while loading green levies onto the highest industrial electricity prices in the developed world and sending taxpayers’ money to foreign manufacturers to produce electric cars abroad.

“Every pound added to a factory’s energy and tax bill is a pound that could have been used to keep British workers in high-value jobs.

“The next Conservative government will scrap the ZEV Mandate and deliver our Cheap Power Plan to bring industrial energy costs down. Labour would sooner sacrifice British jobs than admit their green dogma has failed.”

And trade union Unite also highlighted the impact of the switch to electric vehicles.

Unite’s general secretary Sharon Graham said: “Death by a thousand cuts has been going on under the nose of successive governments.

“Years of under-investment, unsustainable ZEV mandates and high industrial energy costs are crippling the industry. There must be further action.”

In a statement, Jaguar Land Rover promised to treat affected staff with “care, fairness and respect”.

Chief executive PB Balaji said: “The automotive industry faces significant challenges, with technological change amidst intense competition and ongoing geopolitical uncertainty.

“Over the next 12 months, we will launch five new products, continue to leverage the strength of our brands and renew our focus on North America, among other markets, to help us deliver double-digit revenue growth.

“At the same time, we are reducing organisational complexity and targeting £1.7billion of savings to lower our break-even point towards 300,000 vehicles and become fitter to compete in a rapidly evolving market.

“These actions will support continued investment of £15-18billion over the next five years in electrification, digital technologies, advanced manufacturing and enhanced customer experiences.

“As part of this transformation, we will reduce our global workforce by around 4,000 roles over the next two years. We recognise this will be difficult news for colleagues affected.”

Business Secretary Jonathan Reynolds has already ruled out any government bailout after reports of the job losses emerged over the weekend.

Mr Reynolds has spoken to Mr Balaji and is set to meet the firm’s leadership team on Tuesday, with Ms Graham also in attendance.

Labour MP Liam Byrne, chairman of the Commons Business Committee, said the job cuts “underline the challenge” facing Prime Minister Andy Burnham and Chancellor John Healey, as the Government tries to grow the economy by focusing on the regions.

He urged ministers to cut energy costs and press ahead with promised plans to ensure publicly funded schemes create jobs in the UK rather than forcing people to buy goods and services from overseas.

He said: “News of up to 4,000 redundancies at JLR is a body blow for workers, families and communities across the West Midlands. Whether or not these redundancies are voluntary, we now need urgent assurances that maximum support will be deployed to help everyone affected find new work.

“But the troubles at JLR underline the challenge facing the Government’s re-industrialisation drive. Britain is preparing to spend billions more on defence, infrastructure and new technology. But British business needs cheaper energy and government orders, not at some distant point in the future, but now, now, now.”

On Tuesday, Mr Byrne’s committee will question the newly appointed minister for re-industrialisation, Blair McDougall.

Mr Burnham’s Government announced last month that it would consider watering down laws forcing motorists to buy electric cars after manufacturers warned that thousands of jobs are at risk.

But the Government is refusing to back down over a planned ban on the sale of new fully petrol or diesel cars from 2030, and new hybrid vehicles from 2035.

Instead, a consultation launched by the Department for Transport will look at whether to relax tough rules designed to reduce sales of petrol and hybrid cars before those dates.

Transport Secretary Heidi Alexander said: “The UK EV market is strong – sales are up, British manufacturers and charge point operators are investing billions, alongside our backing of £7.5billion, including our Electric Car Grant that has helped over 160,000 people make the switch.”

Carmakers have warned that drivers are reluctant to buy electric vehicles, and the industry spends £5billion every year providing discounts.

The automotive sector, which employs almost 800,000 people, including 156,000 directly in manufacturing, has said this is unsustainable, and jobs are at risk.