Sportscar manufacturer to cut 550 jobs at it's factory in Norfolk
The decision follows months of uncertainty around whether the site in Hethel would be shut
550 jobs are going to be lost at the Lotus' factory in the county, by the end of the year.
The decision's been made by the manufacturers majority owners Geely, following rumours it was planning to shut the Hethel plant.
This cut equates to half of the 1,100 people that works at the brand's headquarters in Norfolk.
In late June- Lotus reassured the Business Secretary, Jonathan Reynolds that the carmaker has no plans to close its Headquarters.
Geely has been the majority owner of the British sportscar brand since 2017.
"Necessary in order to secure a sustainable future for the company"
A spokesperson for Lotus sad:
"The proposal is designed to enable Lotus Cars to operate with a flexible and agile business model, allowing it to ramp operations and resources in line with demand, as and when needed.
"We believe this is necessary in order to secure a sustainable future for the company in today’s rapidly evolving automotive environment, which is seeing uncertainty with rapid changes in global policies including tariffs.
"In addition, as part of the proposal, the company plans to increase integration globally across the wider Lotus group and is exploring greater resource sharing and collaboration across its operations.
"This comes on the heels of the recent news Lotus Technology plans to acquire 100% equity interest in Lotus UK in 2025, consolidating all Lotus businesses and operations together.
"This proposed restructuring is vital to enhancing our future competitiveness in the market. The brand remains fully committed to the UK, and Norfolk will remain the home of the Lotus’ sports car, motorsports and engineering consulting operations.
"It is actively exploring future growth opportunities to diversify Lotus Cars’ business model, including through third-party manufacturing".
"The Lotus brand has survived in the county"
Ben Goldsborough is South Norfolk's MP- where the factory sites:
"It has been clear for a long-time now that international pressures put on the automotive industry has put this situation squarely on the table.
"What we will be doing is working with the Lotus management and those affected by this, to try and job match.
"We'll be looking to provide them not only with job security, but to give them decent jobs that they deserve to have after years dedicated service.
"The one thing that we must remember is that the site is remaining open and will be producing cars into the future.
"While today is an incredibly tough one for Norfolk, the Lotus brand has survived in the county and from that we can back better from that moving forwards.