Small companies that depend on the British automaker altered by Jaguar Land Rover production, “perhaps at best a week of cash to support” with “urgent” action necessary to support companies.
Liam Byrne, the head of the business and trade committee influence deputies, wrote to the Chancellor with the warning after meeting the suppliers of the automaker.
“Large companies, we have heard, could start fighting seriously in fifteen-and many simply do not know how they will pay the pay fees at the end of October,” he said
“In short, many companies simply have” weeks “before the financial impact on them becomes untenable and causes critical damage to the key elements of the automotive supply chain.”
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Since August 31, production has been interrupted through the car supply chain, with work staff following the attack.
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More than 33,000 people work directly for JLR in the United Kingdom, many of whom on the West Midlands assembly lines, the largest of which is in Solihull, and a factory in Halewood on the Merseyside.
It is estimated that 200,000 others are employed by several hundred companies in the supply chain, which have faced a commercial interruption with their biggest customer.
Calls for financial support from the government had increased, but Prime Minister Keir Starmer said Thursday afternoon: “I did not get any results here to give you today”.
A partial restart
This arises when JLR has announced that some of its computer systems are back online after being struck by a cyber attack at the end of last month, but production should still not start again before October 1 at the earliest.
“The fundamental work of our recovery program is firmly underway,” said a company spokesperson in a press release.
As part of partial restart, supplier payments can start again.
“We have considerably increased invoicing IT processing capacity,” said the press release. “We are now working to erase the back of payments to our suppliers as quickly as possible.”
The supply of parts to customers around the world can also recommend.
After a A bypass solution has been achieved Tuesday to allow cars to move to buyers without usual online registration, the financial system to treat vehicles wholesale is back online.
“We are able to sell and record vehicles for our customers faster, offering significant cash flows,” said the company.
“Our goal remains on support for our customers, suppliers, colleagues and retailers. We fully recognize that it is a difficult period for everyone linked to JLR and we thank everyone for their support and their patience. ”