Jaguar Land Rover (JLR), owned by Tata Sons, may have considered moving its production out of the UK without a £380 million subsidy intended for its sister battery company, Agratas. Government officials from the Department for Business and Trade (DBT) warned that this could lead to a significant exodus from the UK automotive sector. JLR, which employs 33,000 people in the UK, produces flagship models in Solihull, West Midlands, and Halewood, Merseyside. The planned investment for Agratas's battery gigafactory in Somerset has increased to £5.2 billion, raising concerns that without the subsidy, the factory could be established in Spain instead. This relocation could prompt JLR to shift vehicle production closer to the battery plant, resulting in substantial job losses. Despite the warnings, JLR maintains its commitment to UK manufacturing. The Competition and Markets Authority (CMA) has expressed skepticism about the government's assessment of the potential impact on the UK car industry. Former automotive executives emphasize the need for a comprehensive subsidy strategy that supports the entire automotive ecosystem, not just major players like JLR.