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The UK votes for Brexit and it will impact automakers

It's the first morning after the United Kingdom voted for what's become known as Brexit – that is, to leave the European Union and its tariff-free internal market. Now begins a two-year process in which the UK will have to negotiate with the rest of the EU trading bloc, which is its largest export market, about many things. One of them may be tariffs, and that could severely impact any automaker that builds cars in the UK. This doesn't just mean companies that you think of as British, like Mini and Jaguar. Both of those automakers are owned by foreign companies, incidentally. Mini and Rolls-Royce are owned by BMW, Jaguar and Land Rover by Tata Motors of India, and Bentley by the VW Group. Many other automakers produce cars in the UK for sale within that country and also export to the EU. Tariffs could damage the profits of each of these companies, and perhaps cause them to shift manufacturing out of the UK, significantly damaging the country's resurgent manufacturing industry. Autonews Europe dug up some interesting numbers on that last point. Nissan, the country's second-largest auto producer, builds 475k or so cars in the UK but the vast majority are sent abroad. Toyota built 190k cars last year in Britain, of which 75 percent went to the EU and just 10 percent were sold in the country. Investors are skittish at the news. The value of the pound sterling has plummeted by 8 percent as of this writing, at one point yesterday reaching levels not seen since 1985. Shares at Tata Motors, which counts Jaguar and Land Rover as bright jewels in its portfolio, were off by nearly 12 percent according to Autonews Europe. So what happens next? No one's terribly sure, although the feeling seems to be that the jilted EU will impost tariffs of up to 10 percent on UK exports. It's likely that the UK will reciprocate, and thus it'll be more expensive to buy a European-made car in the UK. Both situations will likely negatively affect the country, as both production of new cars and sales to UK consumers will both fall. Evercore Automotive Research figures the combined damage will be roughly $9b in lost profits to automakers, and an as-of-yet unquantified impact on auto production jobs. Perhaps the EU's leaders in Brussels will be in a better mood in two years, and the process won't devolve into a trade war. In the immediate wake of the Brexit vote, though, the mood is grim, the EU leadership is angry, and investors are spooked.

Jay Leno hits the road in a 1951 Jaguar XK 120 Hot Rod

The 1951 Jaguar XK120 featured in this episode of Jay Leno's Garage might look vaguely like a classic Jag roadster at first, but underneath this cat is something completely different. It was built by Leno's buddy Jason Len of XK's Unlimited when he grew tired of keeping these convertibles stock, and this aluminum-bodied beast was the result. Practically the only major Jaguar part left is the engine. It's a tuned 3.8-liter inline six from an E-Type with Weber carbs that makes an estimated 300 horsepower out of some gorgeous side-exit exhausts. The mill is backed up to a BorgWarner five-speed manual. However, the big surprise is the chassis. In place of Jag's original solution, Len has a custom tubular space frame that he claims sheds some 1,000 pounds over the stock example. There are still some classic Jaguar touches left, though, such as the fin over the driver's head that is reminiscent of the D-Type, and both the wheels and gauges are replicas based on that classic racer. Of course the best part is watching Jay drive this Jag hot rod. This big cat really knows how to purr.

2018 Jaguar XJR575 First Drive Review | Everyone loves an underdog, right?

The number is right there, nestled smack in the middle against the windshield in red: 575. In case you missed it, there are another four red 575s stitched into the seat backs. You might excuse Jaguar for the numerical ostentation, but with manufacturers taking the horsepower arms race nuclear, the 6-year-old XJR sure could use a hook. What better way to stand out than an engine output humblebrag? The $122,400 Jaguar XJR575 gains 25 horsepower for 2018 thanks to software recalibration, which helps scoot the 17-foot-long four-door to 60 mph in a claimed 4.2 seconds. I'm gunning the XJR575 along the mountainous passes near the Alvao Natural Park in northern Portugal to find out whether the upgrade is enough to keep this underdog relevant in the fevered pitch of the high-dollar sedan market. Glance at the Jag in profile, and you might doubt its athleticism. Though nearly identical in length to a long-wheelbase BMW 7-Series and Mercedes-Benz S-Class (and 1.8 inches shorter than the Audi A8L), the XJR575's sloping rear window and rounder styling lend it a somewhat lazier, more lavish appearance. It's also long in the tooth, this design having been first introduced in 2009, but it wears its age surprisingly well. Frankly, you just don't see XJ-series Jags as often as their strong-selling competitors, and that keeps them looking fresher, somehow. In contrast, the Germans have kept their exterior lines purposeful and contemporary looking, with more frequent redesigns furthering their cause. Climb inside, and the XJR's premium trim lends a bit more modernity to the familiar cabin. For starters, the diamond-quilted and perforated leather seats offer solid support, but they might be a bit firm for long hauls. Unlike other XJs, the XJR and R-Sport trims don't offer a massaging feature, an unfortunate sacrifice that is available on most, if not all, of the competitive set. The rear quarters do, however, offer enough legroom for serious stretching out. Tall swaths of carbon fiber trim the door panels while another thin rim of carbon extends around the dashboard, a design shorthand for sportiness despite the fact that the XJR is only available stateside in long-wheelbase form. An Alcantara headliner aids the high-end argument. A few aging elements show cracks in the facade, among them the ungainly seams at the dashboard's center and switchgear that's grown more than a bit long in the tooth.