UK’s Jaguar Land Rover Shutdown Hits Local Businesses Hard

The shutdown of Jaguar Land Rover (JLR) due to a devastating cyberattack has left local businesses in Solihull, England reeling. Many small shops and food establishments are feeling the pinch, losing between 15% and 50% of their customers since the factory shut down last month.

Alex Tora’s fish shop is one of those affected, with takings plummeting by 30%. The shop owner attributes much of its success to the local Jaguar Land Rover workers who now struggle to find time for lunch or snacks due to the shutdown. Nemal Shanmuganathan from One Stop, a convenience store chain across the road from the factory, is losing around £300 in sales per day – 15% of his usual turnover.

Community leaders fear the impact will be felt beyond the factory’s closure. David Bailey, professor of business economics at Birmingham Business School, notes that JLR contributes significantly to the regional economy, employing 10,700 people and generating £8.7 billion annually. The local supply chain relies heavily on JLR, with many small businesses relying on it for work.

The UK government has announced a £1.5 billion loan guarantee for JLR, but local business owners are skeptical about receiving support. Raj Kandola from the Greater Birmingham Chambers of Commerce reports that smaller companies are most vulnerable to the shutdown’s effects, with over three-quarters experiencing negative impacts. The lack of financial support is causing significant difficulties for these businesses.

The situation remains dire, with Tora counting down the days until the factory reopens and things return to normal.

Source: https://edition.cnn.com/2025/10/04/world/jlr-hack-community-britain-intl