Aston Martin will cut up to 20% of its workforce in a bid to save about £40m. The move could affect around 500 employees.
The luxury carmaker confirmed the decision after reporting pre-tax losses of £363.9m for 2025. Losses had totalled £289.1m the previous year. The company had already eliminated 170 roles at the start of 2025.
The group said it must reshape the business to match future plans. It called the redundancies a difficult but necessary step. Chief executive Adrian Hallmark said job cuts alone would not solve the company’s problems. He described them as part of a wider effort to make the business leaner and more effective.
Aston Martin has faced mounting pressure from higher US tariffs and weak global demand. The company also cited extremely subdued sales in China, a key market. Changes to Chinese luxury car tariffs and a slowing economy reduced orders.
The carmaker has struggled since its 2019 stock market listing. It has reported repeated heavy losses, excess dealer stock and ongoing production issues. Investors had expected the latest results after a fifth profit warning since September 2024 and the sale of its Formula One naming rights.
The company said geopolitical tensions and trade barriers had reshaped the competitive landscape. These factors hit volumes, efficiency and profit margins during what it called one of its most turbulent years.
Analysts warned that external pressures do not explain all the difficulties. They said long-term recovery depends on increasing sales and output. Deep job cuts could make a rapid production increase harder.
Aston Martin shares fell 2% following the announcement.
