Jaguar Land Rover
Jaguar Land Rover: The car giant has seen sales slow down.Reuters

Sales at Jaguar Land Rover have hit the skids with slowing demand in China denting sales at the world's biggest car manufacturer.

The company reported that car sales in the three months to June fell 7% to £5bn compared to the same period last year.

Jaguar Land Rover chief executive Ralf Speth described a "challenging macro-economic environment, particularly in China".

The company said in a statement: "The financial performance in the quarter was lower than the strong corresponding quarter last year due to softer sales in China partially offset by strong performance in the UK, Europe and North America."

India's Tata Motors, Jaguar Land Rover's parent company, announced a 49% fall in profit, also linked to flagging growth in China.

In the UK, Jaguar Land Rover employs 25,000 workers in the Midlands and Liverpool.