Page last updated at 20:09 GMT, Friday, 2 January 2009

'Job losses certain' - car boss

David Smith
Both brands still have a bright future, David Smith said.

The chief executive of Jaguar Land Rover has said more redundancies are inevitable across the motor industry.

David Smith said he thought the next few months were going to be "very testing" with a lot of pressure on retailers and suppliers.

"Clearly there will be job losses as we go through this very difficult period," he said.

Staff at the Jaguar plant in Castle Bromwich, West Midlands, are not due to return to work until 12 January.

Bright future

The extended holiday is due to falling demand for the luxury cars.

However, Mr Smith added that managers felt both Jaguar and Land Rover had a bright future thanks to the continued development of new models and greener technology.

Tata Motors, the owner of Jaguar Land Rover, has said it will inject tens of millions of pounds into the company.

Managers have also been trying to secure government funding.

"We do think it is important the government provide support to an industry which is still a vibrant and dynamic part of our economy," Mr Smith said.

Jaguar Land Rover has 15,000 employees with Land Rover plants in Solihull, and Jaguar plants in Coventry, Castle Bromwich and Merseyside.


Jaguar and Land Rover is owned by Indian firm Tata

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