Coronavirus: Rolls-Royce reports record loss as travel slumps

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Engineering giant Rolls-Royce, which makes jet engines, has reported record losses after the coronavirus pandemic caused demand for air travel to slump.

The firm reported a pre-tax loss of £5.4bn for the first half of this year.

Rolls-Royce is in the middle of the biggest restructuring of its business in its history.

On Wednesday, it confirmed plans to close factories in Nottinghamshire and Lancashire, as part of plans to cut 3,000 jobs across the UK.

The move is part of a previously-announced cost-cutting exercise that will see the company slash its global workforce by a fifth, following the drastic fall in air travel because of coronavirus.

Rolls-Royce said it intended to sell its Spanish unit ITP Aero and other assets to raise at least £2bn.

It added that chief financial officer Stephen Daintith had resigned to take up another opportunity, but would remain in his role to support an orderly transition.