UK production HALVES
April 24th, 2009 by Richard Aucock
DRAMATIC declines in UK car production continued in March – proving the VITAL need for sales incentives.
So far, car production in the UK during 2009 has declined by over 56 percent.
This is something that has clearly weighed on the Government’s mind, and led to the intoroduction of a new car scrap scheme.
Now, the SMMT is hoping, the coming of such a scheme will finally start to see these doom-laden figures turn around.
‘The figures show that urgent action is necessary to kick-start demand in the motor industry, and the introduction of a UK scrappage incentive scheme is an important first step,’ said SMMT chief executive Paul Everitt.
‘Efforts to restore confidence and improve access to finance, particularly for companies in the supply chain, are key to sustaining our industrial capability.’
Changes won’t come fast though, he fears ‘The motor industry has an essential role in the UK’s economic future, but it will be some months before we see any significant increase in output.’
Tags: car production, SMMT, UK
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April 25th, 2009 at 1:54 am
The SMMT is responsible for a large proportion of this manufacturing disaster.
Quote: “the introduction of a UK scrappage incentive scheme is an important first step” – no it’s not.
It is a dog’s breakfast. Now the Government has to clamp down and slap “selective” manufacturers who want to just include more expensive cars.
And clamp down and slap ones who are wrapping existing discounts in with the scheme and re-packaging it in order to claw some profit from the scheme. Confusion marketing. This is taxpayers money, so that borders on the criminal.
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This is *NOT* windfall profit; it is subsidy to consumers from the UK taxpayer. Keep your hands off it! How *DARE* dealers/manufacturers try to roll it into profit!!!
I have already had to force a main UK car industry journal to withdraw a major industry conference publicity which was headed by a seminar to show dealers how to “secure their share” of the £300m.
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The SMMT has been one of the main parties directly responsible for causing a freeze in the market due to customers being confused (all year) over the talk of such a scheme. The consumers are still confused, indeed – dealers and manufacturers are confused… with all these “selective” offers.
Paul Everitt should take personal responsibility for the SMMT’s role in this begging fiasco and resign immediately. His leadership crying for subsidy – that manufacturers are now deciding they cannot afford (after thinking Christmas had arrived) – has derailed the car buying plans of many thousands of consumers. People have held off all year, waiting for the details of the scrappage “bribe”.
Now, they are still holding off, due to unclear manufacturer statements.
This has definitely contributed to the horrendous manufacturing decline in the article above. Can no one else see this?
What a mess. The SMMT, as the manufacturer body, bears large responsibility. Resign, Paul.
Ling Valentine