Nissan to cut 100s of UK jobs
The company's sales in Britain have fallen 35 per cent so far this year, worse than overall demand in the sector, which is down 12 per cent.
In a statement, Nissan said, “We will be managing a planned short-term reduction in powertrain supply and plant volumes.”
David Bailey, a professor of industrial strategy at Aston University, said to the Guardian: “Certainly there is a massive shift away from diesel vehicles across Europe. There is a perfect storm combining "dieselgate," legislative changes and the reduction in resale values for owners of the cars.
“Nissan is exposed to that, as about 25 per cent of what Nissan produce up in Sunderland is diesel. But they have a lot of hybrid technology after the takeover of Mitsubishi which we can expect to see more of, as well as the electric technology behind the Leaf, so I think they are well positioned to see through this temporary shock.”
Jaguar Land Rover also announced they are cutting around 1,000 jobs and output at two of its factories after a fall in sales which the industry has blamed on confusion with the government's diesel policy, with a tax hike coming into force this month.
Demand for diesel in Britain fell by a third this year due to continued consumer concern over planned tax rises and proposed bans.