Major car brand vows to keep 'consistent' production at UK factory despite axing 550 jobs

One of the nation's most iconic manufacturers has confirmed that it will continue to produce vehicles in the UK, just months after cutting hundreds of jobs.

Sports car automaker Lotus has described its UK factory in Hethel, Norfolk, as one of its most important facilities, as it expands its lineup of hybrid and electric products.

Despite a challenging Q4 in 2025, the British manufacturer remains confident of a strong 2026, especially following the debut of its first plug-in hybrid model, the Eletre X.

Last year, Lotus delivered 6,520 vehicles and achieved a total revenue of £383million against a challenging backdrop of global tensions, tariffs and changing customer preferences.

Europe remained a strong source of sales, in addition to China, with the brand confident in its next steps, including the global release of the Eletre X.

The model is built on Lotus' 900V X-Hybrid architecture, allowing drivers to accelerate from 0-100km/h in just 3.3 seconds, as well as a staggering 1,400 kilometre range.

Speaking to GB News, Daxue Wang, Chief Financial Officer of Lotus Technology, acknowledged that 2025 had been a challenging year, although the brand is working towards profitability through cost-cutting measures and product launches.

Mr Wang, who was appointed as CFO of Lotus in April last year, also highlighted the importance of the brand's Hethel facility in its future goals and successes.

He explained that Lotus Technology would likely acquire the UK division, which focuses on the manufacturing and development of sports cars and the heritage sector.

Lotus Technology manages the development, manufacturing and sales of electric vehicles and sports cars, with Mr Wang anticipating that the acquisition would be completed this year.

He told GB News: "We are still going to cater to the needs of the delivery of sports cars. Production in Hethel is going to be consistent. We already have the five-year plan regarding the latest model and the facelift.

"Our devotion to the sports car is not going to disappear, but of course, maybe in the future, it's not going to be only the ICE car. There could be something in the hybrid cars, or a combination of the two powertrains.

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"For the sports car point of view and perspective, the UK and Hethel are going to be the most important base for our future operations in this regard."

This declaration of support for the brand's UK operations comes after it announced the loss of 550 jobs in August 2025, as part of restructuring plans to achieve a "sustainable future" for the company.

The cut to its 1,300-strong workforce in Norfolk was done in response to tough market conditions last year, as many manufacturers struggled with the impact of US President Donald Trump's tariffs.

President Trump initially imposed a 27.5 per cent tariff on cars being imported to the United States, which was ultimately avoided after Prime Minister Keir Starmer struck a trade deal to lower the rate to 10 per cent.

Lotus remains confident that it can thrive in the current market conditions, especially with its high-end plug-in hybrid and electric models.

It announced in November that its Emeya model had set a new world record as one of the fastest-charging electric vehicles using the public charging network, taking just 13 minutes and 35 seconds to charge from 10 to 80 per cent.

Lotus also recently became the second manufacturer in the world to be approved for Highway Navigation Pilot functions on European roads from June 2026.

The advanced driver assistance technology will begin rolling out to cars in the coming months through an over-the-air software update, in a further boost to the brand's road safety credentials.