Aston Martin will cut up to 20% of its workforce to save about £40m. The luxury carmaker reported pre-tax losses of £363.9m for 2025, widening from £289.1m the previous year.
The company plans to reduce staff by around 500 roles. It had already eliminated 170 jobs at the start of last year. Management said the cuts form part of a broader restructuring effort.
Aston Martin stated that organisational changes were necessary to align resources with future plans. It called the decision difficult but essential. The group aims to become leaner and more efficient.
Chief executive Adrian Hallmark said job cuts alone would not solve deeper structural issues. He described them as one element of a wider recovery strategy.
The carmaker, headquartered in Gaydon, Warwickshire, also operates a factory in St Athan, south Wales. Canadian billionaire Lawrence Stroll remains the majority owner.
The company has issued five profit warnings since September 2024. It also sold permanent naming rights to its Formula One team to raise funds. Shares have lost most of their value since the troubled 2019 stock market listing.
Aston Martin blamed US tariff increases and weak global demand for its worsening performance. It described 2025 as one of its most turbulent years. Trade barriers and supply chain pressures reduced volumes and margins.
The company also cited extremely weak demand in China. Changes to Chinese luxury car tariffs and a slowing economy hurt sales in that key market.
Analyst Aarin Chiekrie said external pressures only explain part of the decline. He warned that internal weaknesses complicate the recovery. He argued that long-term success depends on reversing falling sales volumes.
Shares fell 2% following the announcement.
