Jaguar and union representatives will continue talks over a pay dispute for with staff at its Halewood plant.

The decision to proceed with consultations was made in a meeting this morning.

Staff at the Coventry site rejected a two year pay freeze, shift cuts and an increase in employee pension contributions, with a vote of 2,101 against and 1,878 in favour.

A spokesman for the Transport and General Worker’s Union said Jaguar’s offer was one they could recommend after further and more detailed consultations.

Jaguar and the T&G will start talks with shop stewards in before a decision is taken on the next steps to take.