Jaguar has confirmed that none of its 8,000 manufacturing staff will lose their jobs, but hours would be cut with a Friday shut-down at the Brown’s Lane, Allesley and Halewood plants, affecting the S and X-Type, the XJ and XK models.

Production is to be cut by 11% to 15,000 cars to the end of the year at the three UK plants. Strengthening competition and the adverse dollar-sterling exchange rate have hit Jaguar’s US sales, which account for over half total output. Its US sales were 24% lower in July 2004 than July 2003.