Aston Martin will cut up to 20% of its workforce as it tries to save about £40m. The move could affect around 500 employees.
The luxury carmaker had already reduced 170 roles at the start of last year. It said the latest decision followed a review of future business needs. The company called the cuts difficult but necessary to become leaner and more effective.
The announcement came as Aston Martin reported pre-tax losses of £363.9m for 2025. Losses had been £289.1m the previous year. Weak demand and higher US tariffs added pressure on trading.
Chief executive Adrian Hallmark said the redundancies would not solve every problem. He described them as one part of a broader restructuring plan.
The company, based in Gaydon with a factory in St Athan, has struggled since its 2019 stock market listing. It has faced heavy losses, production issues and excess dealer stock. Its shares have lost most of their value.
Aston Martin also sold the permanent naming rights to its Formula One team after issuing multiple profit warnings. It described 2025 as one of its most turbulent years because of trade barriers and supply chain disruption.
Demand in China remained extremely weak. Changes to luxury car tariffs and a slowing economy hurt sales in that key market.
Analysts said external factors only explain part of the decline. They warned that job cuts and asset sales cannot restore long-term growth on their own. The company must increase production and reverse falling sales volumes.
Aston Martin shares fell by about 2% after the results.
