UK supercar maker and Formula 1 team McLaren plans to cut more than a quarter of its workforce after the coronavirus crisis hit sales and advertising revenue.
The group is seeking to raise £275m after racing season and supercar sales ground to a halt.
The firm employs about 4,000 people, the vast majority of the 1,200 to be made redundant, will be in the UK. Formula 1 racing has been suspended, while orders for McLaren’s supercars have fallen because of the pandemic.
A spokesman for McLaren said it had been “severely affected” by the crisis, the company said it had worked hard to cut costs and avoid layoffs. “But we now have no other choice but to reduce the size of our workforce,” McLaren chairman Paul Walsh said in a statement.
“This is undoubtedly a challenging time for our company, and particularly our people, but we plan to emerge as an efficient, sustainable business with a clear course for returning to growth.”
The carmaker, which builds vehicles for racetracks and the road, operates from a facility at Woking, Surrey, that was designed by the architect Norman Foster’s company. McLaren also has a composites technology centre in Sheffield.