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Andy Burnham issued with stark jobs warning amid UK car industry struggles

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Andy Burnham has been told to make two changes to “secure jobs” as the UK car industry faces uncertainty. The new Prime Minister has been told to tackle high energy costs and trade barriers which experts claim are “holding the industry back” in 2026.

It comes at a difficult time for the UK motoring industry, with vehicle production down and the threat of tough ZEV Mandate targets. Data from the Society of Motor Manufacturers and Traders (SMMT) shows that UK vehicle production was down 11.6% in July.

Figures show that shipments to all the UK’s major markets were also down in July, with exports to the EU declining by 15.2%.

Speaking exclusively to Express.co.uk, Tom Jervis, consumer writer at Auto Express stressed that while recent investment announcements were a welcome boost, there are still several hurdles to overcome.

He said: “Andy Burnham needs to back British car makers by tackling the high energy costs and trade barriers holding the industry back.

“If the UK wants to attract investment, secure jobs and remain a global automotive powerhouse, it needs to be one of the most competitive places in Europe to build cars.”

The SMMT has previously warned that decisive action was needed over the UK’s Zero Emission Vehicle (ZEV) Mandate goals in order to “protect UK automotive competitiveness, investment and jobs”. Manufacturers have repeatedly sounded warnings around the targets, with Ford boss Lisa Brankin admitting that sustainable demand was “still short of the targets”.

The UK car industry is no stranger to large closures, with Stellantis axing its historic van-making factory in Luton in 2025 with 1,000 jobs lost.

SMMT boss Mike Hawes has previously said: “We need open trade with Europe, competitive conditions at home, and a realistic route to grow zero emission vehicle uptake.”



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