Why JLR has extended production halt till October 1
What's the story
Jaguar Land Rover (JLR) has announced an extension of its production halt until at least October 1, 2025. The decision comes in the wake of a cyberattack that crippled the company's operations on September 2. The firm is now working with cybersecurity experts, the National Cyber Security Centre (NCSC), as well as law enforcement agencies to ensure a safe resumption of activities.
Attack details
'Scattered Lapsus$ Hunters' claimed cyberattack
The cyberattack was claimed by a hacker group called "Scattered Lapsus$ Hunters." The attack has not only disrupted JLR's operations but also impacted repair garages in the UK. The incident raises concerns for JLR's British supply chain, which comprises many smaller suppliers and supports 104,000 jobs nationwide.
Efforts
What did JLR say?
In light of the cyberattack, JLR has extended its production halt until October 1. The company said this decision was made to provide clarity for the coming week as it prepares for a phased restart of operations and continues its investigation. "We are very sorry for the continued disruption this incident is causing and we will continue to update as the investigation progresses," JLR said in a statement.
Economic repercussions
JLR's losses mount
The ongoing production halt has hit JLR's three UK factories hard, with the firm reportedly losing £120 million in profits and £1.7 billion in lost revenue. Many of its 33,000 employees have been asked to stay home. The Unite trade union has warned that prolonged disruption could lead to job losses and has urged the government to provide support.
Security upgrade
Cyberattack comes at difficult time for JLR
The cyberattack comes at a difficult time for JLR, which recently reported a profit drop due to increased costs from US tariffs. In 2023, the company had signed an £800 million deal with Tata Consultancy Services (TCS), its corporate cousin, for cybersecurity and IT support as part of its digital transformation efforts.