Jaguar Land Rover's i54 plant revealed as busiest UK engine factory as company confirms car production cuts

It makes the plant the biggest and busiest auto engine factory in the UK. But the news comes as the West Midlands-based luxury car maker has revealed another round of production cuts, this time at its Castle Bromwich Jaguar plant.

It follows cuts in production at Halewood, on Merseyside, where the company makes the Evoque.

A spokeswoman said this morning: "We can confirm the Castle Bromwich is currently undergoing planned, extended shutdowns.

"This is due to reduced demand following challenging market conditions, especially reduced demand for diesel, in the UK.

"We can also confirm that there have been no job losses at the plant."

It takes the shine of new figures that confirmed JLR's standing as the biggest car maker and auto engine maker in the UK last year.

The car company made 532,107 vehicles in the UK last year - the third year when it was the UK's number one car producer – while the Wolverhampton factory manufactured 305,907 of its Ingenium diesel and petrol engines.

It follows massive investment at the i54 site, where the £1 billion engine plant has now expanded to cover 2 million sq ft. The workforce at the site has now expanded beyond its original target of creating 1,400 jobs.

Jaguar Land Rover has maintained its position as the largest vehicle manufacturer in the UK despite a 2.3 per cent drop from record production highs seen in 2016 at its plants at Castle Bromwich, Solihull and Halewood on Merseyside.

The news comes as industry body the Society of Motor Manufacturers and Traders (SMMT). announced that annual UK car production has fallen for the first time, having reached a 17-year high in 2016.

Car production fell last year after a near 10% drop in domestic demand, while investment by auto companies was more than half a billion pounds lower than in 2016, new figures reveal.

Despite the decline, the 1.67 million cars built in this country was still the second highest figure since the turn of the century.

Ralf Speth, Jaguar Land Rover chief executive officer, said: “We are proud to strengthen our position as Britain’s number one car manufacturer.

“However, the car industry is facing a number of challenges that are undoubtedly impacting consumer confidence, particularly in the UK. Jaguar Land Rover must become as lean and fit as possible so that we can continue to invest in our autonomous, connected and electrified future.”

Earlier this month the company announced it was cutting production at its Halewood plant because of lower demand.

More than £4bn has been spent on the company’s vehicle and engine plants since 2010, bringing six all-new cars and two ultra-clean Ingenium engines to the market.

In the last financial year alone investment stood at £400m to support the introduction of the Jaguar XF Sportbrake and Range Rover Velar. Plants also gained significant manufacturing technology and upgraded facilities to support continuous improvement.

Owned by the Indian Tata Motors group, the West Midlands-based luxury carmaker has grown to employ almost 42,000 people around the world, with another 240,000 working at its dealerships, suppliers and other local businesses. As well as the core plants in the UK, JLR has expanded manufacturing with additional plants in China, Brazil, Austria and Slovakia.

In 2017 Jaguar Land Rover sold a total of 621,109 vehicles in 130 countries, with more than 80 per cent of its vehicles sold outside the UK.

This year JLR says it will spend another £4 billion on new products and its plants as it gears up for its 2020 target of offering electrified versions of all new Jaguar Land Rover vehicles.