Business

Britain’s biggest carmaker Jaguar Land Rover (JLR) is bracing for weeks of disruption after a devastating cyberattack forced it to shut down factories, suspend deliveries and send thousands of staff home.

The attack, claimed by a group called Scattered Lapsus$ Hunters linked to the collective behind recent hacks on M&S, Harrods and the Co-op, has rendered JLR’s global IT systems unusable. Without diagnostic tools, dealerships cannot properly service vehicles, register new sales or access online parts catalogues.

JLR’s main assembly plants in Solihull and Halewood and its engine plant in Wolverhampton have all been idled, with workers told not to report for shifts this week — and possibly far longer. Senior insiders have conceded the outage will take “a matter of weeks rather than days” to resolve, with a “long tail of work” needed even once systems are restored.

The shockwaves are being felt well beyond JLR’s 30,000-strong workforce. Suppliers including Evtec, WHS Plastics, SurTec and OPmobility, which together employ more than 6,000 people, have already laid off staff temporarily.

“Jaguar Land Rover is an anchor institution,” said Raj Kandola, chief executive of the Birmingham Chambers of Commerce. “It’s not just about the people it employs directly, it’s the supply chains.”

David Roberts, chairman of Evtec, warned “many, many thousands of people” across the Midlands are waiting to get back to work. With JLR production lines silent, Roberts said suppliers had no choice but to furlough workers until further notice.

Analysts estimate the attack is costing JLR £5m a day in lost profits. “This is catastrophic,” said Professor David Bailey, business economist at Birmingham University. “The longer it goes on, the greater the likelihood customers will go elsewhere.”

Tariffs, turmoil and transition

The cyberattack caps a torrid year for JLR. In March, President Donald Trump imposed 25% import tariffs on cars and parts — a hammer blow to JLR’s biggest single market, the US, which accounts for roughly a quarter of sales. Shipments were suspended for more than a month before a temporary trade deal was struck, allowing 100,000 UK cars into America at a 10% tariff, quadruple the previous rate.

While JLR posted a bumper £2.5bn profit to March, largely on the back of Slovakian-made Defender sales, quarterly profits later slumped by almost half in the wake of Trump’s tariffs. The turmoil coincided with the sudden resignation of CEO Adrian Mardell, replaced by Tata Motors’ finance chief PB Balaji in August.

The company is also preparing to relaunch its Jaguar brand as an all-electric luxury marque, dropping its iconic “growler” logo in a controversial rebrand aimed at younger buyers. Trump derided the move as “stupid” and “seriously WOKE”.

The UK government said it was working “closely with JLR” to monitor the situation. The National Cyber Security Centre has been called in, while ministers face pressure to provide support to cushion the blow to supply chains. In 2011, the government offered £150m to suppliers after Japanese carmakers Nissan and Honda were hit by the Fukushima disaster.

Former Nissan COO and Aston Martin CEO Andy Palmer said JLR may need similar intervention. “It runs into billions really quickly, more than any single company can withstand. You probably end up with some form of state bailout,” he said.

JLR apologised to customers, suppliers and staff, saying: “We want to thank everyone for their patience and support. We are very sorry for the disruption. Our retail partners remain open and we will continue to provide updates.”

For the West Midlands, the paralysis recalls the pandemic shutdown of 2020. But with no timeline for recovery, many fear this crisis could prove even more damaging.

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Jaguar Land Rover cyberattack to take ‘weeks not days’ to fix as West Midlands suppliers hit

Marks & Spencer has called on the government to reconsider proposed reforms to inheritance tax relief for farms, warning of damaging consequences for rural communities and Britain’s food security.

Alex Freudmann, managing director of M&S Food, urged new environment secretary Emma Reynolds to back Britain’s farmers following growing anger in the countryside. “We support our farmers’ calls on the government to do more to support farming, and that includes supporting their call for a rethink on inheritance tax,” Freudmann said.

The FTSE 100 retailer has previously joined the National Farmers’ Union in pressing ministers to extend consultation on proposed changes to agricultural property relief and business property relief, which currently shield many family farms from punitive tax bills.

The sharper language signals M&S is prepared to take a firmer stance against Sir Keir Starmer’s administration, following weeks of rural unease over Labour’s approach.

M&S wrote to Reynolds’ predecessor, Steve Reed, on June 19 after consulting farmers and growers. In the letter, Freudmann warned of “doubt … that there was a genuine national commitment to increasing the domestic supply of food” and urged the government to set a clear, legal target for domestic food production.

“A clear and concrete target to increase the proportion of indigenous foods eaten in the UK that are grown in the UK would galvanise cross-government action,” Freudmann argued. “If it was set down in law, like targets around net zero or nature protection, it could also tilt the balance towards farmers and growers in decisions around planning or access to water.”

Reed did not respond to the letter, sources said. However Reynolds visited a pig farm on Saturday in one of her first trips as environment secretary.

A government spokesman defended the inheritance tax changes, saying they were vital to help repair public finances. “Our reforms to agricultural and business property relief are vital to fix the public services we all rely on. Three-quarters of estates will continue to pay no inheritance tax at all, while the remaining quarter will pay half the inheritance tax that most people pay, and payments can be spread over ten years, interest-free.”

The row comes after weeks of rural protests and concerns from farming leaders that Labour’s reforms risk destabilising family-run farms already struggling with rising costs, trade disruption and environmental compliance pressures.

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M&S calls on ministers to rethink farm inheritance tax reforms amid rural backlash

Newly appointed business and trade secretary Peter Kyle has pledged to pursue an “ambitious” growth agenda, telling senior executives that the government should play an active role in creating the UK’s first trillion-dollar company.

Business Matters understands Kyle held a hastily arranged call with corporate leaders on Saturday afternoon after succeeding Jonathan Reynolds in the role. Attendees included executives from BAE Systems, Heathrow Airport, Microsoft UK, NatWest Group and Octopus Energy, alongside representatives from the CBI, FSB and Make UK.

Kyle told bosses that his experience at the Department for Science, Innovation and Technology (DSIT) would be an asset in his new position, with plans to deploy the resources of the British Business Bank to drive growth. He said his goal was to make Britain the best place in the world for start-ups and scale-ups, and stressed the importance of long-term stability to boost business confidence.

Among his ambitions, he said, was for the UK to nurture its first $1trn company — a milestone achieved only by a handful of US tech giants such as Amazon, Apple and Nvidia.

Kyle also confirmed he would travel to Washington on Sunday to help prepare for President Donald Trump’s forthcoming state visit, before heading to China for talks with officials. He said Prime Minister Sir Keir Starmer had given him licence to pursue growth opportunities in partnership with DSIT, the Treasury and the Department for Work and Pensions.

Echoing the Chancellor’s recent rhetoric, Kyle said he wanted government policy to encourage greater risk-taking in business.

In a statement issued through the government, he said: “I want government to be seen as an active partner that delivers success, supports new business and backs wealth creation. This government’s number one mission is economic growth. We need to crack on and do it. We must double down, while being creative and unrelenting in pursuit of our goal. I want this to be the greatest place to start a business or scale up. We haven’t maximised the potential in this country, and I’m ambitious in wanting to see the first trillion-dollar company emerge from the UK.”

Kyle’s remarks set the tone for what is expected to be a more interventionist business department, seeking to blend innovation policy with industrial strategy in the pursuit of growth.

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Peter Kyle sets sights on UK’s first $1trn company in ‘ambitious’ growth pledge as he replaces Jonathan Reynolds as business minister

Coventry-based Maeving, the British electric motorbike manufacturer, has raised £8 million in new funding to expand production, accelerate overseas sales and develop new models aimed at commuters and women riders.

The company, founded in 2018 by university friends Seb Inglis-Jones and Will Stirrup, attracted backing from venture capital firms including Venrex, Future Planet Capital and Elbow Beach Capital, alongside angel investors such as John Ayton, co-founder of Links of London, and Simon Hill-Norton, founder of Sweaty Betty. It has also secured a £3 million working capital facility from HSBC UK.

Maeving exports around half of its bikes to markets such as France and Germany, with the US now its largest international market outside the UK. Sales to America have risen fivefold so far this year compared with 2024, despite disruption from President Donald Trump’s tariff-driven trade war.

“The biggest challenge for all manufacturers exporting to the US has been the uncertainty for consumers,” said Inglis-Jones. “If people are uncertain about their finances, they’re less likely to spend money on a discretionary product.”

Inspired by the popularity of simple e-bikes in China with removable batteries, the Maeving founders set out to combine practicality with British engineering and design at a higher-end price point. While Chinese models can cost just a few hundred pounds, Maeving bikes start at £4,995.

The company’s RM1 and RM1S models can travel up to 80 miles on a full charge, with batteries that recharge in under four hours for about 73p. Maeving estimates that powering an average UK commute of 11.4 miles a day costs just £4.20 a month in electricity.

Rather than chasing traditional motorbike enthusiasts, the brand is targeting new riders, particularly commuters and city dwellers seeking an alternative to congested public transport. At 140kg, Maeving bikes are lighter than most motorcycles, making them more accessible — particularly to women.

“Our customers are often people who’ve not ridden loads of bikes before and have no affiliation with petrol engines,” said Inglis-Jones. “They’re not expecting vibration or noise. They want something clean, simple and easy to use.”

Maeving employs 67 staff, including 50 in production at its Coventry site, which has the capacity to produce up to 11,000 bikes annually. The UK is no longer known for large-scale hardware manufacturing, Inglis-Jones said, “but motorcycle design is one of the things we are still revered for worldwide.”

The company’s head of product, Graeme Gilbert, previously worked on new product design at Triumph, another British motorcycle brand.

With its new funding, Maeving plans to double down on R&D, ramp up marketing spend — particularly in overseas markets — and cement its position as a new force in the electric mobility sector.

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UK e-motorbike maker Maeving secures £8m to fuel growth and overseas expansion

Meta has been quietly but steadily reshaping how its platforms operate, and artificial intelligence now sits at the heart of this transformation.

From the familiar spaces of Facebook and Instagram to WhatsApp and the company’s metaverse ambitions, automation powered by AI is becoming more visible to users and more influential for businesses.

The pace of this evolution raises pressing questions. How much control do users truly retain over their own data? What does automation mean for the authenticity of brand communication? And how can companies adapt to new systems where machine learning increasingly mediates the relationship between people and platforms?

This article examines the developments, focusing on privacy implications, user control, and the strategic adjustments brands must consider.

AI in Everyday User Experience

Meta’s AI is often most visible for individual users in day-to-day interactions. The recommendations that appear in Instagram’s Explore tab, the content shown on Facebook’s News Feed, and even the automatic captions generated for videos are all examples of machine learning in action. These systems are designed to anticipate behaviour and serve relevant and engaging content.

The advantages are clear. Users spend less time searching and more time consuming content tailored to their interests. Facebook’s search functions now draw on AI to deliver faster, more precise results, while WhatsApp experiments with AI-powered customer service chatbots to provide quicker answers to common queries.

At the same time, these features raise the issue of transparency. Recommendations often feel personalised, but few users understand the mechanics behind why certain posts or adverts appear.

Automation Behind the Scenes

Beyond the surface, Meta has expanded AI into areas that directly impact the safety and integrity of its platforms. Automated content moderation is perhaps the most significant of these efforts. With billions of daily interactions, human moderation alone is impossible. AI now flags harmful material, detects misinformation, and filters spam at a scale no workforce could match.

The technology is far from perfect. False positives can restrict legitimate speech, while determined bad actors continue to find ways around automated checks. For users, this creates an ongoing tension. They benefit from safer environments but also risk having content removed without a clear explanation.

The balance between protection and overreach remains one of Meta’s most contested issues.

Privacy at the Core

No discussion of AI automation can avoid the question of privacy. Meta’s business model depends heavily on data collection, and AI systems thrive on large volumes of personal information. Every like, share, and interaction provides signals that inform the company’s algorithms. The more data ingested, the more accurate the predictions become.

For users, this creates a paradox. Personalisation improves the platform experience, but it also means surrendering intimate details of online behaviour. Meta has introduced controls such as privacy dashboards and ad preference settings, yet the complexity of these tools often leaves the average user uncertain about what they are opting into or out of.

This opacity carries consequences. Meta has faced repeated scrutiny and legal challenges in markets with strict privacy regulations, such as those of the European Union. For individuals, the uncertainty can foster caution, leading some to limit activity or abandon certain features altogether.

Implications for Trust

Trust is the currency that underpins all digital platforms. Once eroded, it isn’t easy to restore. If users feel that automation makes decisions about them without their knowledge or permission, the relationship between the platform and participant shifts. People may become more selective about the data they share, reducing the effectiveness of AI systems and undermining the personalised experiences that Meta promotes.

For Meta, the challenge lies in achieving clarity. Transparent explanations of how AI makes decisions and what data it processes are no longer optional; they are prerequisites for maintaining engagement.

Strategic Shifts for Brands

From the perspective of marketers, Meta’s AI automation presents both opportunity and challenge. Automated ad optimisation can dramatically improve campaign efficiency, identifying high-performing creatives, targeting receptive audiences, and adjusting budgets in real time. Predictive analytics helps brands anticipate customer behaviour and respond with tailored messaging.

Yet automation also narrows the margin for differentiation. When every advertiser has access to similar optimisation tools, creativity and authenticity become the only valid points of distinction. Consumers, increasingly aware of automation, are more sensitive to inauthentic engagement. A chatbot that solves problems quickly can enhance loyalty, but if the interaction feels mechanical or invasive, it risks alienating the audience a brand seeks to attract.

This is why many businesses turn to specialised partners such as a Facebook ads agency in London, which can combine human expertise with AI-driven tools to craft campaigns that feel both efficient and authentic. Success in this new environment depends on treating automation as a support system rather than replacing human insight.

Read more:
Inside Meta’s AI Automation: What It Means for Users & Brands

Tesla has proposed a new $1 trillion pay package for chief executive Elon Musk, in what would be the largest compensation deal ever awarded to a corporate leader.

Under the plan, Musk would receive 12 tranches of shares over the next decade if Tesla hits a series of financial, production and technological milestones. If achieved in full, the deal would lift Tesla’s valuation from about $1 trillion today to $8.5 trillion, making it the most valuable company in the world and adding nearly $7.5 trillion in shareholder value.

The plan also stipulates that Musk’s activities in the political sphere “wind down in a timely manner”, reflecting investor concern over his public clashes and a messy split with US President Donald Trump.

To unlock the first tranche, Musk would need to nearly double Tesla’s market capitalisation to $2 trillion while achieving a cumulative 20 million vehicle deliveries from the date of Tesla’s first production car.

Further milestones include rolling out one million Robotaxis, delivering one million AI-powered humanoid bots, and hitting aggressive earnings and product targets. Meeting them all would increase Musk’s stake in Tesla to at least 25% and grant him greater voting power over the company’s future.

Tesla chairwoman Robyn Denholm and board member Kathleen Wilson-Thompson told shareholders the award was critical to keeping Musk focused on Tesla at a pivotal point in its history.

“Simply put, retaining and incentivising Elon is fundamental to Tesla achieving these goals and becoming the most valuable company in history,” they wrote.

Denholm told CNBC the deal was structured to reward delivery, not promises: “If he performs, if he hits the super ambitious milestones that are in the plan, then he gets equity. It’s 1 per cent for each half a trillion dollars of market cap, plus operational milestones.”

The $1 trillion package dwarfs Musk’s previous pay arrangements. Earlier this year, Tesla approved an interim stock award valued at $29 billion to secure his leadership through 2030.

The Delaware Court of Chancery struck down Musk’s 2018 pay plan, then worth up to $56 billion, ruling it excessive and improperly granted. Musk is appealing, claiming the court erred in rescinding a deal that shareholders had approved twice. That package spurred Tesla’s extraordinary growth over the past five years but became a flashpoint for corporate governance concerns.

Now Tesla’s board is betting that an even larger, more ambitious award will ensure Musk devotes his energy to transforming the company from an electric vehicle maker into an AI-first technology giant. Shareholders will vote on the new plan in the coming months.

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Tesla proposes $1 trillion pay package for Elon Musk, the largest in corporate history

British companies are cutting jobs at the fastest pace in four years following Chancellor Rachel Reeves’s £25 billion payroll tax raid, according to new data from the Bank of England.

The central bank’s latest decision-makers panel, which surveys around 2,000 chief financial officers, found that employment fell by 0.5% in the three months to August — the steepest decline since 2021. The survey also revealed that companies plan to cut jobs over the next year at the quickest rate since October 2020, when the UK was emerging from pandemic restrictions.

HM Revenue & Customs data shows payrolled employment has contracted by more than 160,000 since last October’s budget, when Reeves announced a £25bn rise in employer National Insurance contributions. Losses have been concentrated in retail and hospitality, two of the UK’s biggest employers.

UKHospitality described the scale of job losses as “staggering”, while the British Retail Consortium warned that any further tax rises would force businesses into “difficult choices about the future of shops and jobs.” More than half of all jobs shed since the budget have been in the low-wage hospitality and retail sectors.

The British Chambers of Commerce has also cautioned that firms are preparing for a hiring freeze as higher employment costs take their toll.

Retailers reported in July that sales growth was “barely touching the sides” of the £7bn in extra costs imposed at the last budget. Business groups have consistently warned Reeves that further tax rises in her 26 November budget would choke off growth and undermine fragile momentum in the labour market.

Former Bank of England governor Lord King of Lothbury said Labour’s election pledge not to raise income tax, VAT or employee NICs had left the Chancellor with few options. Speaking to Times Radio, he said: “By ruling out those rises, the government boxed themselves in. Their only freedom is to cut spending, and when they tried, their MPs rebelled. They face a serious challenge ahead.”

The Bank of England has been placing greater weight on its own surveys after a fall in responses to the Office for National Statistics’ labour market data. Its latest poll also showed inflation expectations rising to 3.4% for next year, up from 3.2% in July and well above the Bank’s 2% target.

Official figures show inflation hit 3.8% in July and is forecast to peak at 4% in September, a figure that will be used to uprate pensions and benefits next April.

Despite concerns over jobs and inflation, investors expect the Bank to keep interest rates at 4% for the rest of the year, after five cuts in the past 12 months.

Long-term government borrowing costs climbed to their highest level in nearly three decades this week before easing on Thursday.

The Treasury defended the government’s record, insisting it remained “pro-business”. A spokesperson said: “Services sector activity is at a 16-month high and business activity is at a 12-month high. We are a pro-business government that has created 380,000 jobs, helped interest rates to fall five times, struck three major trade deals with the EU, US and India, reformed business rates, and capped corporation tax at 25%.”

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Companies cut jobs at fastest pace in four years after Reeves’s £25bn payroll tax raid

Angela Rayner has resigned from government after the prime minister’s adviser on ministerial standards concluded she failed to pay the correct stamp duty on a second home, leaving her position untenable.

The deputy prime minister and housing secretary stepped down on Thursday, hours after Sir Laurie Magnus delivered his report to Sir Keir Starmer. The investigation centred on a £40,000 surcharge Rayner should have paid on a property in Hove. She had insisted she followed legal advice and paid the correct rate, but referred herself for scrutiny after a senior barrister later advised the surcharge was due.

Starmer accepted Magnus’s findings and determined that Rayner could not remain in post, triggering her resignation. A swift cabinet reshuffle is expected to appoint a new housing secretary, while Labour will also begin the process of electing a new deputy leader.

Rayner’s departure caps a bruising week for the government, which has faced mounting questions over ministerial standards as it prepares for the 26 November Budget.

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Angela Rayner resigns as deputy prime minister after report into tax affairs

Kevin Maxwell, the brother of Ghislaine Maxwell, is fighting a last-ditch legal battle to avoid bankruptcy after being pursued for almost £600,000 by administrators of collapsed investment fund Fortress Capital Partners, which has been accused of operating as a Ponzi scheme.

Court filings show Maxwell, 65, applied to the High Court last week to dismiss a statutory demand from insolvency experts who took control of Fortress after its collapse in 2023. The demand, issued on August 12, could trigger bankruptcy proceedings if he fails to settle the outstanding debt.

It marks another financial crisis for Maxwell, who was once Britain’s most notorious bankrupt after the 1991 collapse of his father Robert Maxwell’s media empire and a £460m black hole in the Mirror Group pension fund. Declared insolvent with debts of £400m at just 32, Maxwell later stood trial alongside his brother Ian for their role in the scandal but was acquitted.

Fortress Capital Partners, set up in 2015, promised investors returns of up to 18% and attracted funds from celebrities, footballers and church congregations. Administrators later said it bore “all the hallmarks of a Ponzi scheme.”

Maxwell had borrowed from Fortress, with records showing debts of £2.4m at the time of its collapse. He subsequently agreed to repay £1.25m over two years but has been accused of breaching that agreement by making only “sporadic” payments.

According to administrators, he still owes £597,000. A source close to Maxwell insisted he has been making incremental repayments and has already cleared half of his obligations.

Fortress collapsed owing nearly £18m to creditors, including Manchester United footballer Scott McTominay, Boyzone singer Shane Lynch, and members of The Tab church in Lewisham, south-east London. Prior to its downfall, it was run by businessman Ashley Reading, whose daughter is McTominay’s partner.

Kevin Maxwell has endured repeated financial troubles since his father’s empire collapsed. His ventures have included media company Telemonde, which failed, and construction firm Syncro, where his conduct as a director saw him banned from running a company for eight years in 2011.

He narrowly avoided bankruptcy again in 2005 after amassing £30m in personal debts.

More recently, Maxwell co-founded the counter-extremist think tank “Combating Jihadist Terrorism and Extremism” with his brother Ian. He has also defended his sister Ghislaine Maxwell in the wake of her conviction for aiding sex offender Jeffrey Epstein, insisting she has been unfairly portrayed as Epstein’s “demon queen.”

The collapse of Fortress has prompted inquiries from the Financial Ombudsman Service, though the fund was not regulated by the Financial Conduct Authority. Its model involved borrowing from investors and lending to high-net-worth individuals and corporate clients, attempting to profit from the margin between interest paid and interest charged.

Administrators are continuing efforts to recover funds, with Maxwell now among their most high-profile debtors. His latest bid to fend off bankruptcy underscores a career dogged by financial turmoil stretching back almost four decades.

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Kevin Maxwell faces bankruptcy threat over £600,000 Fortress Capital ‘Ponzi scheme’ loan

Investment in British artificial intelligence (AI) companies surged to a record £2.9 billion last year, cementing the UK’s position as a global hub for cutting-edge technology and innovation.

New figures show the UK now ranks second only to the United States in attracting AI investment, ahead of both China and the rest of Europe. The milestone underlines Britain’s emergence as one of the most attractive destinations worldwide for AI growth and commercialisation.

The Government said the investment reflected growing confidence in the UK’s tech ecosystem, and pledged to continue supporting AI scale-ups with access to talent, deeper links between academia and industry, and a regulatory environment designed to drive further expansion.

Technology Secretary Peter Kyle has outlined new plans to strengthen the UK’s sovereign AI capabilities, creating opportunities for innovation while prioritising public trust in the technology. More industries, from energy to financial services, are primed to adopt AI to boost productivity and economic growth.

A new AI assurance roadmap, launched on 3 September 2025, will underpin the UK’s strategy. It includes the development of a professional code of ethics, a skills and competencies framework, and a recertification scheme to guarantee AI systems are trustworthy, transparent and reliable. Officials said the initiative could add billions to the economy and create thousands of high-skilled jobs.

Stuart Harvey, CEO of Datactics, welcomed the surge in investment but warned that poor data quality could undermine progress: “AI systems are only as good as the data they’re built on. Without clear data quality, structure and governance, investment risks being poured into systems that are opaque, biased, or unfit for purpose. Establishing clear data readiness frameworks is key to successful AI deployment.”

Chris Davison, CEO of NavLive, said capital alone would not secure long-term impact: “Without access to top talent, supportive AI regulation and meaningful R&D incentives, funding alone won’t be enough to sustain growth or secure the UK’s place in the global AI race. The challenge now is to build the right conditions for innovation to thrive.”

To accelerate adoption across critical industries, the Government has also launched an £11 million AI Assurance Innovation Fund to develop new tools, and pledged £2.7 million to strengthen regulator capability in AI. Officials say the funding will help cut regulatory burdens, enabling sectors such as energy, aviation and nuclear to adopt AI more quickly and safely.

Investment in UK AI has more than doubled over the past five years, with strong backing for companies working in healthcare, finance, and climate tech. The rapid expansion is already contributing to economic prosperity and is expected to play a pivotal role in shaping the future of Britain’s digital economy.

With record levels of funding, a growing global reputation, and a regulatory framework designed to boost public trust, the UK is now firmly positioned as one of the world’s leading AI powerhouses.

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UK AI investment hits record £2.9bn as Britain strengthens global leadership