Britain’s biggest car maker says some of its computer systems are back up after a massive cyber-attack brought operations to a halt – but there is no date to resume production
Cyber attack hit Jaguar Land Rover says parts of its IT system are now back up and running as part of a “phased restart”.
The car giant said it was “working to clear a backlog of payments” to suppliers, many of whom have been left reeling from a production shutdown since it fell victim to cyber crooks at the end of August. But Britain’s largest car maker has put back the date to resume production a number of times, with the latest being October 1 at the earliest.
JLR has announced some signs of recovery with suppliers and dealerships told that “sections of our digital estate are now up and running”. The move will enable dealers to service customers’ vehicles and speed up the time to sell vehicles.
Chancellor Rachel Reeves was asked during a ministerial visit whether the government was set to step in to help firms which supply JLR with components. She said: “We are working very closely with Jaguar Land Rover, but not just with the company but also with the wider supply chain.
“The Business and Trade Secretary Peter Kyle was in the West Midlands with Jaguar Land Rover and also with many of their suppliers yesterday. It’s a company I know well, it’s a company the Prime Minister knows well.
“The National Cyber Security Centre is in with Jaguar Land Rover, and have been since this cyber attack on them.
“The focus is both getting the business back up and running as quickly as possible, but also making sure as a Government we are doing everything we can to stand by the company and the wider supply chain.”
Ministers have weighed-up options to support firms in JLR’s supply arm. Some suppliers have already begun laying off staff or urging them to claim benefits, says unions.
With the government having ruled out a Covid-style furlough scheme for staff, another rumoured idea is the taxpayer buying up stock from suppliers and then selling it back to JLR when it is back up and running. But experts have questioned whether it can work.
Sir Andy Street, former Mayor of the West Midlands, warned doing so was “risky” and recommended a cash loan to suppliers instead.
It comes amid reports that JLR was uninsured against a cyber attack.
Experts have warned that JLR could face a hit worth around £120million to its finances from the factory shutdown, with this increasing significantly for every week it is extended.
The company has halted production at its factories in Halewood on Merseyside and Solihull in the West Midlands, and its engine manufacturing site in Wolverhampton. The sites typically build more than 1,000 cars each day.
