Automotive Manufacturing: Employment

Sureena Brackenridge Excerpts

Wednesday 7th May 2025 Westminster Hall

[Mrs Sureena Brackenridge (Wolverhampton North East) (Lab)]

It is a pleasure to serve under your chairship, Sir John. I thank the hon. Member for Reigate (Rebecca Paul) for introducing this timely debate, particularly in the light of the turmoil and uncertainty caused by US tariffs.

As on many occasions, I rise to champion a flagship site of the UK automotive sector: Jaguar Land Rover’s engine manufacturing centre at the i54, which is just outside my constituency. That world-class facility employs 1,700 people, with many of them living in my constituency. I welcome the 100 more roles recently announced as part of JLR’s drive towards electrification, which is part of an additional £18 billion investment over the next five years.

The UK automotive sector is a cornerstone of our manufacturing economy, generating £93 billion in turnover last year and supporting hundreds of thousands of skilled jobs. Yet, today, the sector faces serious uncertainty following the announcement of a 25% US tariff on automotive imports. I am therefore here to seek urgent clarifications. First, what progress has been made in negotiations with the US to remove or reduce those damaging tariffs? Secondly, in the worst-case scenario—the absence of a deal—how will the Government act to support the industry through the immediate and longer-term challenges?

The US is a crucial market for JLR, accounting for around a quarter of its global sales. A prolonged 25% tariff would hit the business and the UK auto sector disproportionately. We need a deal that prioritises reducing those barriers. I support the calm, clear and statesmanlike leadership of our Prime Minister amidst the turbulence and erratic policy shifts from across the Atlantic. However, if a deal cannot be secured, the Government must act swiftly to protect jobs, sustain investment and safeguard our industrial base.

In the west midlands, we are talking about a potential £6.2 billion hit—the biggest regional impact in the UK. The support announced at JLR’s Solihull site in April is welcome. To support the transition to net zero and the automotive sector, the Prime Minister has introduced pragmatic changes: easing EV targets, allowing cleaner petrol cars to count towards quotas and extending hybrid sales to 2035. Those realistic steps back innovation, while keeping our ambitions intact.

We must now fully deliver on our promise to protect British industry from global shocks. That includes supporting time to pay arrangements, to help manage cash flow; cutting energy costs; and creating a new advanced manufacturing partnership with the west midlands to bolster supply chains and drive growth.

Finally, I want to highlight another reason why JLR is such a vital employer in my constituency: its outstanding commitment to skills and apprenticeships. With 350 new places across BTEC and T-level routes, from engineering to electrification, it is building the workforce for the future that we so badly need. It is a powerful example of how business and education work in partnership, hand in hand, to secure long-term prosperity.

I again ask the Minister, what progress has been made in securing a deal with the US? If one cannot be reached, what specific support will the Government provide to protect this vital sector and ensure that world-class facilities such as JLR’s i54 site can continue to thrive?