Introduction: JLR sales hit by cyber attack disruption
Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.
India’s Tata Motors Passenger Vehicles has lifted the bonnet on the impact of the cyber attack which disrupted Jaguar Land Rover’s factories last autumn.
JLR’s retail sales tumbled by a quarter in the October-December period – down 25.1% year-on-year to 79,600 units – new data shows, following the hack at the end of August.
Wholesale production saw an even greater fall – it fell by 43%, compared with a year ago, to 59,200 units.
Tata states that JLR’s sales were “impacted by cyber incident as previously indicated”, adding:
Production returned to normal levels only by mid‑November post the cyber incident. Due to this and also the time required to distribute vehicles globally once produced, wholesale and retail volumes reduced on a quarter‑on‑quarter and year‑on‑year basis.
The cyber attack forced production to be suspended across JLR’s factories through September, and pushed the carmaker into a quarterly loss of almost £500m.
But the hackers weren’t the only problem facing JLR – its sales to the US were also hit by “incremental US tariffs impacting JLR’s US exports, continued to impact volumes”.
As a result, retail sales to North America fell by 37.7%. They were also down 13.3% in the UK, by more than a quarter in Europe, and by 18.4% in China.
Sales volumes were also hit by the planned wind down of legacy Jaguar models ahead of the launch of the new Jaguar design which prompted a backlash at the end of 2024.
The agenda
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8am GMT: UK grocery inflation data for December
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9am GMT: Eurozone service sector PMI report
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9.30am GMT: UK service sector PMI report
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2.45pm GMT: US service sector PMI report
Key events
Next: Pressures on UK employment will hit consumer economy
Next have also warned that UK consumer spending in 2026 could be hit by rising unemployment.
In today’s financial statement they give several reasons why growth in the next finanial year will slow, including:
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In the UK, growth in the current year was boosted by very favourable summer weather, competitor disruption and improved stock levels. So we will face tough UK comparatives, particularly in the first half.
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Continuing pressures on UK employment are likely to filter through into the consumer economy as the year progresses.
Next beats expectations over Christmas
UK retailer Next has beaten expectations over the crucial Christmas trading period.
Next has reported that its full-price sales rose by 10.6% in the the nine weeks to 27 December, ahead of its own guidance for the quarter of +7.0%.
Next says UK sales in those weeks were up 5.9%, a slowdown on earlier in the year, while international sales jumped by 38.3%.
With sales £51m higher than expected, Next has raised its guidance for full year profit before tax this financial year by £15m to £1,150m.
Tata Motors shares fall
Shares in Tata Motors have fallen by 2% today, as traders digest the drop in JLR’s sales in the last three months of 2025.
Introduction: JLR sales hit by cyber attack disruption
Good morning, and welcome to our rolling coverage of business, the financial markets and the world economy.
India’s Tata Motors Passenger Vehicles has lifted the bonnet on the impact of the cyber attack which disrupted Jaguar Land Rover’s factories last autumn.
JLR’s retail sales tumbled by a quarter in the October-December period – down 25.1% year-on-year to 79,600 units – new data shows, following the hack at the end of August.
Wholesale production saw an even greater fall – it fell by 43%, compared with a year ago, to 59,200 units.
Tata states that JLR’s sales were “impacted by cyber incident as previously indicated”, adding:
Production returned to normal levels only by mid‑November post the cyber incident. Due to this and also the time required to distribute vehicles globally once produced, wholesale and retail volumes reduced on a quarter‑on‑quarter and year‑on‑year basis.
The cyber attack forced production to be suspended across JLR’s factories through September, and pushed the carmaker into a quarterly loss of almost £500m.
But the hackers weren’t the only problem facing JLR – its sales to the US were also hit by “incremental US tariffs impacting JLR’s US exports, continued to impact volumes”.
As a result, retail sales to North America fell by 37.7%. They were also down 13.3% in the UK, by more than a quarter in Europe, and by 18.4% in China.
Sales volumes were also hit by the planned wind down of legacy Jaguar models ahead of the launch of the new Jaguar design which prompted a backlash at the end of 2024.
The agenda
-
8am GMT: UK grocery inflation data for December
-
9am GMT: Eurozone service sector PMI report
-
9.30am GMT: UK service sector PMI report
-
2.45pm GMT: US service sector PMI report
