Jaguar Land Rover has confirmed that approximately 1,000 agency staff at its Lode Lane plant in Solihull will not have their contracts renewed.

The company said it was making adjustments to production schedules and the levels of agency staff "in light of the continuing headwinds impacting the car industry". Meanwhile, 350 permanent workers will be transferred from its Castle Bromwich facility to Lode Lane.

A spokesperson for Jaguar Land Rover also said that the company is “continuing to recruit large numbers of highly skilled engineers, graduates and apprentices as we over-proportionally invest in new products and technologies, including the latest plug-in hybrid options for the Range Rover and Range Rover Sport that are now being delivered to customers from Solihull.”

Trade union Unite said that it would be working to retain as many jobs as possible and giving full support to Jaguar Land Rover workers.

Unite also warned ministers that faltering consumer confidence, combined with the government’s aggressive approach to diesel and its ‘red lines’ determining  the UK’s trading relationship with Europe, were harming Britain’s world beating car industry. 

Sales for Jaguar Land Rover for March were down 26% for the UK. 

Ralf Speth, Chief Executive of Land Rover highlighted weakness in the economy as well as a drop in demand for diesel and tax changes for creating a "reaction in the consumer base".

Unite assistant general secretary for legal services and acting regional secretary for the West Midlands Howard Beckett, commented on the layoffs, “Our fear is that the jobs toll in the wider economy could reach 5,000. Losses on this scale demand concerted government action, nationally and in the region.”