Environment, Salvage, Supplier, Technology, Vehicle Repair, vehicle sales and Words
The Competition and Markets Authority’s (CMA) is seeking reassurance about how Copart’s proposed acquisition of Hills Motor will impact the salvage market in the UK before deciding whether to approve the deal.
Its Phase 1 investigation concluded that the companies are close competitors in the vehicle salvage market as they both compete for national contracts – sometimes the same contracts. As such, it has expressed concern that the transaction could lead to a loss of competition in the supply of salvage services and salvage vehicles.
Sorcha O’Carroll, Senior Director of Mergers at the CMA, said, “It is important that salvage and green parts services remain competitive so that the many businesses in the UK that rely on them benefit from lower prices and higher quality services.
“Our investigation showed that Copart’s purchase of Hills Motors takes out an important player in the vehicle salvage services industry and that few competitors would be left in the market. The transaction could also make it more difficult for green parts suppliers to purchase the vehicles they need, which would reduce competition in that market.
“We will move to an in-depth investigation unless the companies can address our concerns.”
Jane Pocock, CEO, Copart UK and Ireland, said, “We acknowledge that the CMA is seeking further details on our acquisition of Hills Motors. We recognise the need for the CMA to understand our approach in more depth given the importance to our customers and the market.
“Hills will continue to bid and buy on the Copart auction platform in the normal way and continue to provide the successful green parts service they have established.
“We look forward to participating fully in the process and demonstrating that this transaction will provide another pro-competitive solution to the market. We remain totally committed to giving our customers the depth and breadth of service they ask of Copart and are confident of a positive outcome.”
Mobility, People, Supplier, Technology, vehicle sales and Words
New research has revealed a stark contrast in US and UK driver attitudes toward automated vehicles.
Trust in Automation, delivered by Thatcham Research, polled 2,000 motorists and unearthed a significant difference either side of the Atlantic.
For example, 81% of US drivers saw a benefit to self-driving or autonomous technology compared to 73% in the UK, while 11% of US drivers said they would buy a car with self-driving capability as soon as it was available compared to just four per cent of UK drivers.
Meanwhile, when asked how they felt about taking back control from the first cars with self-driving capability, just under half (48%) of American motorists said they were comfortable with the idea of an emergency handover request from the system. In the UK this number drops to 32%.
Trust in Automation also identified a digital divide between younger and older drivers, with 38% of the over 55s seeing no benefit to self-driving cars compared to only 10% of 17–24-year-olds.
Matthew Avery, Chief Strategic Research Officer, Thatcham Research, said, “Without that clarity of communication – from naming conventions to how the system informs motorists that the self-driving mode is engaged – the industry could miss a huge opportunity to commence our journey towards Automation on the safest possible foundations.
“Offering reassurance to more experienced drivers is key, since the first vehicles with self-driving capability are more likely to be out of the financial reach of younger age groups.”
At more than 300 pages with nearly 100 individual graphs, the comprehensive report takes insights from industry leaders and stakeholders representing all sectors, providing the most forensic analysis of the current state of the industry.
Tailored to motor insurance companies, vehicle manufacturers, bodyshop networks, bodyshop groups, paint and distribution companies plus other product manufacturers within the supply chain, trade bodies, the internationally-recognised report provides extensive and in-depth coverage of the market challenges including repair volume, cost, and dynamics.
Among its findings, it reveals that living standards in the UK are facing their biggest drop since the end of the Second World War, with an economic revival not expected until 2025 at the earliest. It identifies rising interest rates, food prices and energy bills as the three most significant factors impacting disposable income.
Specific to the industry, a growing shortage of skills has led to severe wage inflation this year – as much as 20% in some cases – with employers across the board investing more in both recruiting and retaining staff.
Supply chain disruption also continues to be an issue, with one in five repair jobs still being delayed by a lack of one or more parts. With volumes increasing as winter sets in, the report has identified an increase in lead times in the last two months from 55 days to 59, with further strain is expected in the coming months.
Among the contributors this year are Dean Lander of Thatcham Research, Wayne Mason-Drust from Accident Express, Synetiq’s Sarah Hirst, Steve Thompson from industry charity Autoraise, Alan Hayes of Carpenters Group, Catherine Carey from Consumer Intelligence, David Shepherd of Cognoscenti, ECA Business Energy’s Steve Silverwood, and cap hpi’s Derren Martin.
Meanwhile, Trend Tracker’s report also includes a special feature on the electric vehicle charging market in the UK, provided by Zap-Map.
Environment, Mobility, People, Supplier, vehicle sales and Words
UK car production rose 7.4% in October while the production of commercial vehicles was up 10.7%.
According to the Society of Motor Manufacturers and Traders, 69,524 cars were built in the UK last month, signalling a return to growth after September’s fall.
Meanwhile, UK production of battery electric (BEV), plug-in hybrid (PHEV) and hybrid (HEV) vehicles rose by 20.3% to 24,115 units. Year-to-date, UK car factories have produced a record 61,339 BEVs, up 16.2% on the same period in 2021.
The SMMT also reported that CV production increased to 8,740 vans, buses, trucks, coaches and taxis, making it the highest output volume since October 2012 and continuing 10 consecutive months of growth.
Mike Hawes, SMMT Chief Executive, said, “A return to growth for UK car production in October is welcome – though output is still down significantly on pre-Covid levels amid turbulent component supply.
“Getting the sector back on track in 2023 is a priority, given the jobs, exports and economic contribution the automotive industry sustains. UK car makers are doing all they can to ramp up production of the latest electrified vehicles, and help deliver net-zero, but more favourable conditions for investment are needed and needed urgently – especially in affordable and sustainable energy and availability of talent – as part of a supportive framework for automotive manufacturing.”
Bodyshop, Car Rental, Environment, Finance, Insurance, Mobility, People, Salvage, Supplier, Technology, Training, Vehicle Repair, vehicle sales, wellbeing and Words
Automotive industry charity Ben is encouraging those working within the sector to take part in its 2022 Health and Wellbeing Survey.
The survey aims to take the emotional temperature of the industry and better understand the issues and concerns of the automotive community.
It includes a series of questions relating to physical and mental health and results will help Ben assess the services it offers and ensure it is offering the right support to those in need.
Rachel Clift, Health & Wellbeing Director at Ben, said: “Our Health & Wellbeing survey is crucial as it gives us an overview of what is really going on in the automotive community, and allows us to focus our efforts on helping people in the right way with the right resources.
“We rely on this information to ensure support is getting to people who need it the most. It also enables us to develop our products and services in line with this fast-changing industry landscape.”
Last year’s survey revealed that 94% of automotive workers were personally affected by a health and wellbeing issue over the 12-month period, with stress the most common issue, followed by anxiety and poor sleep.
It found that 32% of those surveyed sought out support with their health and wellbeing, although, encouragingly, 60% said they were happy in their jobs.
Sponsored by GT Motive and OSCA, and backed by ARC360 Corporate Partners and Partners, the event includes a highly influential line-up of speakers set to discuss the latest from across the industry.
Davies delighted to attend ARC360 event
Davies will be on hand at ARC360’s Gaining Ground Together 2022 conference to discuss its technologically-enhanced motor claims management solutions.
It will be represented at the event by Shaun Woods, Customer Relations Director, and Joe Ashworth, Director – Strategic Accounts.
Since acquiring four sites in 2018, owner Richard Steer has managed a breakneck growth strategy that has seen his group mushroom to 56 sites today. Ecclesiastical puts faith in its own talent
He said that Ecclesiastical has established a number of talent development and grow-your-own schemes that are not just focussed around individual progression but are also intended to future-proof its own leadership team for the next five, 10, 15 years.
According to WTW’s 2022 Company Car Benefits Survey report, a fifth of those surveyed also said they plan to introduce CO2 emission ceilings on their vehicles in light of stricter environmental standards.
However, the Society of Motor Manufacturers and Traders reported that used battery electric vehicle (BEV) sales bucked the trend with a rise of 44.1% in the quarter to 16,775 transactions.
The partnership will offer state school and college students exclusive insights into the sector, with automotive employees recording videos, writing blogs and attending workshops to offer advice and discuss potential career paths.
Chris Weeks, Executive Director, said, “We are very pleased with the Chancellor’s decision to provide £13.6bn support in business rates over the next five years. This will provide some small relief to body shops already dealing with soaring energy bill prices and the cost-of-living crisis. Body shops play a vital role in the automotive industry and are crucial to our communities; therefore, government financial support is imperative and welcomed.
“The decision to extend the Vehicle Exercise Duty makes the transition to electric vehicles more difficult.”
He said, “With 15 five-star ratings in this latest set of results, it’s clear that safety remains a carmaker priority. All but two of the cars tested feature centre-console airbags, to protect rear-seated occupants from head-to-head contact during a side impact. This potentially life-saving innovation was new to the programme in 2020 but now it’s standard-fit on most new cars.”
Among the products Indasa showcased were the Fusor 129 flow sealer, its Optex Lightspeed bodyfiller and Superbuild and the Indasa HT line of solutions.
The Centre of Excellence initiative was launched in 2020 to improve standards of technical training and now boasts 48 member institutions throughout the UK, benefitting over 37,000 learners and apprentices.
In this webinARC we offer a host of interviews, comments and insights via recorded interviews focusing on business development opportunities and challenges in 2023 and beyond.
Bodyshop, Environment, People, Supplier, Training, Vehicle Repair, vehicle sales and Words
AutoRaise has formed a new strategic partnership with education charity Future First to encourage more young people into the automotive industry.
The partnership will offer state school and college students exclusive insights into the sector, with automotive employees recording videos, writing blogs and attending workshops to offer advice and discuss potential career paths.
Further, AutoRaise will guide those interested in joining the industry and connect them with businesses.
Steve Thompson, AutoRaise Vice-Chair said, “For me it is quite simple, we need to break the barriers in the industry by getting in front of young people. This partnership with Future First will ensure we capture our future talent and hopefully inspire them to join this great industry when they leave school.”
Lorraine Langham, Future First CEO, added, “Being connected to organisations such as AutoRaise, and employees across their member businesses, often opens up a whole new world of opportunity for students from all backgrounds. Many may never have considered a career in vehicle repair, and may not appreciate the progression opportunities that exist in the sector. The chance to meet and learn from someone who has gone on to succeed in the sector could inspire them to follow a similar path.”
Environment, Mobility, People, Supplier, Technology, vehicle sales and Words
A new survey has revealed that a fifth of companies plan to take advantage of home working to reduce both CO2 emissions and the number of employees travelling by car.
According to WTW’s 2022 Company Car Benefits Survey report, a fifth of those surveyed also said they plan to introduce CO2 emission ceilings on their vehicles in light of stricter environmental standards.
Of those yet to act, 73% of companies plan to review their company car policies in the next year with half doing so for environmental reasons and nearly a third (31%) planning to introduce new low-emission vehicles to their fleet.
Samantha Rogers, International Survey Consultant at WTW, said, “Climate change is a continually pressing concern for both companies and employees, which is reflected through the changes that are being made to car benefit policies not only in the UK, but across the globe.
“The uptake of electric vehicles aligns with the push towards the UK 2030 electric car mandate and signals the change in attitude from companies and colleagues towards vehicles and their impact on the environment. But it’s also interesting to see how the shift to mass working from home has affected the need for company vehicles.”
Environment, Mobility, Supplier, vehicle sales and Words
The UK’s used car market fell 12.2% in the third quarter of the year, with sales down 9.7% for the year to date.
According to the Society of Motor Manufacturers and Traders, just 1,785,447 vehicles changed hands between July and September, the first time that quarter three transactions have dipped below two million since 2015.
However, used battery electric vehicle (BEV) sales bucked the trend with a rise of 44.1% in the quarter to 16,775 transactions. The used electric hybrid market grew by 2.5% over the same period while plug-in hybrid sales fell 5.8%.
Mike Hawes, SMMT Chief Executive, said, “Given the short supply of new cars due largely to sustained chip shortages, a declining used car market comes as little surprise, although it’s great to see a growing number of used buyers able to get into an electric car. The demand is clearly there and to feed it we need a buoyant new car market, which means giving buyers confidence to invest.
“The Autumn Statement is an opportunity for the government to make a long-term fiscal commitment to zero emission motoring, including adequate public charging infrastructure, which, especially given the economic headwinds, would go a long way to stimulating the market and delivering both economic and net zero progress.”
