Government mulls financial support for JLR supply chain firms

The federal government is taking a look at methods to financially assist the businesses in Jaguar Land Rover’s (JLR) provide chain, the BBC understands.JLR halted automobile manufacturing on the finish of August after a cyber assault compelled it to close down its IT networks. Its factories stay suspended till subsequent month on the earliest.Fears are rising that some suppliers, specifically the smaller companies who solely depend on JLR’s enterprise, might go bust with out assist.One thought being explored is the federal government shopping for the part components the suppliers construct, to maintain them in enterprise till JLR’s manufacturing strains are up and working once more.A Covid-style furlough scheme can be among the many choices being thought-about, sources have informed the BBC. This feature would see the federal government subsidising employees wages or offering government-backed loans to suppliers.Nevertheless, ministers have dominated out a furlough scheme given its probably value – and a want to maintain folks working, quite than the other.The Enterprise and Commerce Choose Committee is because of meet on Thursday afternoon to listen to testimonies from companies in JLR’s provide chain.