Jaguar Land Rover Suppliers on Brink of Financial Collapse Amid Cyber Attack Chaos

Jaguar Land Rover Suppliers Face Financial Crisis Amid Cyber Attack Fallout Around 100,000 people in the Jaguar Land Rover (JLR) supply chain have been impacted by a cyber attack that has led to a prolonged shutdown of the car maker's operations. According to Labour MP Sarah Edwards, some suppliers have as little as seven to 10 days' worth of cash left. Edwards, a member of the Business and Trade Committee, spoke at a meeting with JLR suppliers on Thursday. She revealed that 10 companies within the supply chain had expressed concerns about their financial prospects due to unpaid invoices dating back to August 31. "They're very worried, they are concerned," Edwards said. "It's imperative suppliers are paid very quickly." The cyber attack, which occurred last month, has resulted in a significant disruption to JLR's operations, with plants in Solihull, Wolverhampton, and Merseyside affected. The company employs approximately 30,000 people directly, while an additional 100,000 individuals work within the supply chain. Edwards emphasized that the 10 companies present at Thursday's meeting represented a "cross-section" of first-line direct suppliers, covering various aspects of the supply chain ecosystem. She expressed particular concern for these businesses, stating, "It's imperative suppliers are paid very quickly." JLR has faced criticism from suppliers and industry experts regarding its handling of the cyber attack and subsequent shutdown. Some have accused the company of being slow to respond to the crisis and failing to provide adequate support to affected suppliers. In response to the concerns raised by Edwards and other MPs, a JLR spokesperson stated that the company is working closely with suppliers to resolve outstanding payment issues as quickly as possible. "We understand the importance of timely payments to our suppliers and are committed to ensuring they receive fair compensation for their work," the spokesperson said. The situation highlights the vulnerability of small businesses within the supply chain, which often rely on prompt payments from major manufacturers like JLR. Industry experts warn that prolonged payment delays can have devastating consequences for these companies, potentially leading to job losses and business closures. As the crisis continues, Edwards has urged the government to take swift action to support affected suppliers. "The government must work closely with industry leaders to ensure that suppliers receive fair compensation and are protected from financial ruin," she said. The Business and Trade Committee is set to hold further meetings with JLR and its suppliers in the coming weeks to discuss the crisis and potential solutions. *Reporting by Bbc.*