Sports car manufacturer Lotus is to cut 550 jobs at its UK headquarters in Norfolk in an effort to secure a sustainable future.
It follows reports in June that the iconic carmaker was considering closing its plant and testing site at Hethel, near Norwich. The company decided not to close the site when the government indicated it could offer support.
In a statement, Lotus Technology said the job cuts were “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”.
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It added: “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.”
It follows a previous announcement in April that the company would shed 270 jobs.
South Norfolk Council said it would do everything possible to help and support the people who lose their jobs.
Daniel Elmer, leader of the council, told the BBC: “We will continue to work with Lotus, but our priority now must be the people who are losing their jobs, and we will be working with the county council to put in place support packages.
“We will also be talking to the government to see how they can help us in ensuring that there is a future for this iconic brand in South Norfolk.”
A government spokesperson said: “We recognise carmakers such as Lotus have been facing significant long-term challenges, and we know this announcement will be concerning for workers and their families.”
The government’s trade deal with the US, meant a 27.5% tariff on cars was reduced to 10% for the first 100,000 vehicles exported each year.
Lotus was founded in 1952 by engineer Colin Chapman and moved to the former RAF Hethel airbase in the 1960s. It currently employs around 1,300 at the site.
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