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PM: Jaguar Land Rover Is the 'Jewel in the Crown' — Government Seeks EU Talks as Suppliers Urge Move to Aerospace

PM: Jaguar Land Rover Is the 'Jewel in the Crown' — Government Seeks EU Talks as Suppliers Urge Move to Aerospace
Andy Burnham said he would "never let industry just go" [BBC]

Prime Minister Andy Burnham hailed Jaguar Land Rover and the West Midlands automotive industry as the "jewel in the crown" of the UK economy and said mass car production still has a future in Britain. The government is negotiating with the EU over proposed "Made in Europe" rules to prevent UK manufacturers being disadvantaged. Suppliers warned that JLR's plan to cut 4,000 jobs could be a sign of wider supply-chain decline affecting some 183,000 roles and urged help to transition into aerospace and defence; Burnham said he would consider their proposals while prioritising support for the car industry.

Prime Minister Andy Burnham has described Jaguar Land Rover (JLR) and the wider West Midlands automotive sector as the "jewel in the crown" of the UK economy, while warning the industry faces global pressures that require active government support.

Speaking to BBC Politics West Midlands, Burnham said he believes large-scale car manufacturing can remain viable in the UK. He confirmed his administration is engaging with the European Union to ensure proposed rules do not place British manufacturers at a disadvantage.

Suppliers Call For Diversification

Suppliers to JLR have warned that car production may face a long-term decline and have written an open letter urging government help to repurpose factories and skills into aerospace and defence. They described the British automotive supply chain as being "in the wrong market" and said JLR's plan to cut 4,000 jobs is the "first visible crack" in a network that supports about 183,000 manufacturing roles.

"We're so proud of JLR and indeed the whole automotive sector across the West Midlands," Burnham said. "It's the jewel in the crown of the UK economy."

Burnham said he would take suppliers' proposals seriously but stressed his immediate priority is to sustain the automotive industry. "Those companies that have written, we will take seriously what they've said, as well as supporting the primary interest which is the car industry in the West Midlands," he added.

PM: Jaguar Land Rover Is the 'Jewel in the Crown' — Government Seeks EU Talks as Suppliers Urge Move to Aerospace
JLR suppliers say skills and factories could be redirected into aerospace and defence [EPA]

Negotiations Over 'Made In Europe' Rules

The UK government is seeking to negotiate with the EU over proposed "Made in Europe" rules intended to protect European manufacturers from global competition. Burnham warned that excluding British companies from any preferred arrangements would damage supply chains across the region.

JLR maintains its global headquarters in Coventry and operates plants in Solihull, Castle Bromwich and Wolverhampton in the West Midlands, a factory in Halewood, Merseyside, and a design centre in Gaydon, Warwickshire. Suppliers say the region's skilled workforce and factory capacity could be redirected into aerospace and defence production if supported.

Government Support And Reindustrialisation

The government has previously proposed a mix of measures to support the sector, including targeted grants, reduced energy costs and investment in electric vehicle technologies. Burnham framed such interventions as part of a broader policy of "supporting industrial transition" and reindustrialisation, saying the administration will not allow local industries to be left to decline.

"That's the very purpose of the place where we are now, Number 10 North. It's all about supporting growth in all parts of the country and we're never going to let industry just go," he said.

What happens next: Government discussions with the EU on the proposed rules are ongoing, while ministers consider supplier calls to support diversification into aerospace and defence alongside measures to preserve jobs in car manufacturing.

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