Aston Martin will cut up to 20% of its workforce as it tries to save £40m. The move could affect about 500 employees.
The luxury carmaker confirmed the plan after reporting deeper pre-tax losses for 2025. Losses rose to £363.9m from £289.1m the previous year. The company had already cut 170 jobs at the start of 2025.
Aston Martin said the decision followed a review of its future needs. It called the redundancies difficult but necessary to make the business leaner and more efficient.
Chief executive Adrian Hallmark said the cuts alone will not fix the company’s problems. He described them as one part of a wider restructuring effort.
The results reflect a turbulent year for the manufacturer. Higher US tariffs and weak global demand reduced sales and margins. The company also faced supply chain disruption and an unpredictable political environment.
Demand in China, a key market, remained extremely subdued. Economic weakness and new luxury car tariff rules hit volumes.
Investors had expected poor figures after several profit warnings since September 2024. Aston Martin also sold the permanent naming rights to its Formula One team to raise cash.
The group has struggled since its 2019 stock market listing. It has reported repeated losses, dealt with excess dealer stock and faced production difficulties.
Analysts said external pressures only explain part of the decline. They warned that job cuts and asset sales cannot secure long-term recovery. Future success will depend on higher output and stronger sales.
Shares fell 2% after the announcement.
