Perfect storm dampening industry recovery
Bodyshops are being buffeted by a ‘perfect storm’ in the supply chain, caused by a combination of Covid-19, Brexit, and a change in materials. This was the verdict of the latest ARC360 on-demand.
Taking part in the supply chain special were: Paul Sell, associate director, Trend Tracker; Kelvyn Waugh, MD, Prasco UK; Richard Steer, CEO, Steer Automotive; Jeff Mack, national account manager, NWVA; and Mike Partridge, paint and body business manager, VWG UK.
Raw material prices surge for paint manufacturers
The British Coatings Federation’s (BCF) latest statistics confirm further sharp increases in raw material prices for paint and ink manufacturers.
Higher prices for a range of critical solvents are just one area of concern for paint manufacturers with increased costs for resins, some pigments, extenders, and packaging also causing major problems for manufacturers.
NBRA launches Repair Industry Requirements (RIR) for ADAS
In response to the Insurance Industry Requirements (IIR) for ADAS introduced by Thatcham Research, the National Body Repair Association (NBRA) has launched its own Repair Industry Requirements (RIR).
As a result of feedback from a survey, the association said it has created the RIR to support the IIR as best practice and setting out repairer charges.
ABI reveals insurance sustainability roadmap
The supply chain is an area where Association of British Insurers (ABI) members can ‘be pro-active and set high standards that result in meaningful change’ according to its sustainability plans.
The ABI Climate Change Roadmap, which offers a wide-ranging plan to improve sustainability states: ‘Our sector will only be able to achieve this target if there is co-ordinated action across multiple sectors, but we will drive this by embedding a clear set of Net Zero alignment principles across our sector’s supply chain.’
The report highlights how replacement electric vehicles, repair and recycled parts could all form part of the new approach.
Meanwhile, the government has set out its ‘greenprint’ to cut emissions, setting out a pathway for the whole transport sector to reach net zero by 2050.
Fix completes engineering division
Fix Auto UK has completed the goal of forming its own team of field-based vehicle engineers dedicated to serving its franchise partners.
Rob Lake, who joined the network as part of its Key Accounts team, will now head up the team reporting directly into Head of Commercial Mark Hutchins.
Mark said, “The whole premise behind forming the team is to ensure a swift and seamless service to our insurer clients and, of course, motorists.”
Activate opens new Manchester site
Activate Accident Repair has opened a new hi-tech bodyshop in Manchester.
The opening of the site – Activate’s fifth – continues the growth of its hybrid repair network, which sees the strategic location of owned sites to complement its partner repair group relationships across the UK.
FMG RS set for Enfield opening
FMG Repair Services is set to open a new bodyshop in Enfield – the first of a new venture, combining a Northgate Hire facility with a vehicle repair centre.
This first of a new generation of sites will work closely with partner sites of Luton and Lakeside.
Vella Group on apprentice drive
The Vella Group is undertaking a major apprentice recruitment campaign as the business develops its capabilities for the future.
The Vella Group, supported by training partner Blackpool and The Fylde College, is looking for nearly 20 new multi skilled apprentices to ‘train to repair and restore vehicles, assess damage, and work through all the areas needed to repair a vehicle from start to finish’.
Meanwhile, The Vella Group has taken delivery of brand-new Vauxhall Corsa EV courtesy cars at its Liverpool and Deeside LV= General Insurance Sole Supply Sites.
Changing claims activity delivers Admiral profit rise
Admiral Group anticipates a higher-than-expected profit before tax for the first half of 2021 due to positive developments within motor bodily injury claims and low motor claims frequencies.
In a statement, Admiral Group said: ‘The stronger result is due to unusually positive development in the cost of UK motor bodily injury claims from a number of prior underwriting years’. It continued, ‘Further, motor claims frequency in 2021 to date has been lower than expected due to extended lockdown restrictions resulting in a favourable current period loss ratio, despite the significant reductions in Admiral’s premium rates over the past twelve months, which followed the £110 million of premium refunded to customers in May 2020.’
Based on preliminary figures, the group predicts profit before tax in the range of £450 to £500m.
MG Cannon strengthens leadership team
MG Cannon has made two key appointments to strengthen its group leadership team and further build the infrastructure of the business, ready for its next phase of growth.
Graham Prew has joined the business as Group Operations Manager and Mandy Pocock as Group Customer Services Manager.
Redde Northgate acquires ChargedEV
Redde Northgate plc has acquired Charged Electric Vehicles Ltd (ChargedEV), specialists in the supply and installation of electric vehicle (EV) charging equipment across the UK.
The acquisition provides the group with a platform to expand its offerings as both its own EV fleet and its customers’ EV fleets evolve. It will also support the group in its environmental goals and be integral to its overall programme around EV transition and reducing carbon emissions.
ACSO forecasts steep decline in RTA injury claims
The Association of Consumer Support Organisations (ACSO) forecasts that RTA injury claims for 2021 will be sharply down against the long-term average. Further, the association anticipates numbers below the unprecedented drop in motor claims during the height of the pandemic in 2020, which fell below 500,000 for the first time.
Matthew Maxwell Scott, executive director of ACSO, said the huge decline in mileage and continued reduction on RTA claims has not been mirrored by a similar fall in the price of motor insurance suggesting insurers need to ‘come clean about the profits they are making from changing consumer habits and falling motor claims’.
Report highlights work to be done
According to the third edition of Making Diversity and Inclusion a Business Reality diversity and inclusion (D&I) is climbing the agenda for the majority of businesses, but there remains a long way to go to make it a reality in UK automotive.
The paper, produced in partnership by Auto Trader and executive search specialists, Ennis & Co, reveals that the perceived value of D&I amongst automotive businesses is accelerating. Eighty per vent of the 40 organisations surveyed from across the automotive industry (representing retailers, manufacturers, suppliers and trade bodies), stated it was ‘very important’ to their objectives. This marks an increase on the 78% recorded in 2019, and the 75% in 2018.
Polestar targets digital development
Polestar, the Swedish electric performance car brand, is recruiting 100 tech experts as it plans to become one of the top employers of choice for digital and tech talent from around the world.
The digital team will work on what Polestar describes as ‘cutting-edge digital products and next-generation developments that will change the way users connect, explore and interact with their cars’. Included in this is environments both inside and outside the vehicle such as digital ecosystems connected to factories, B2B, B2C, and the support of R&D.
Meanwhile, Volvo Cars has acquired additional shares in Polestar which will result in its shareholding increasing to 49.5%.
Save the date…
ARC360 – Back to the Future – sees a welcome return to physical events on Thursday 25 November at the British Motor Museum, Warwickshire.
Offering an event experience to remember – including plenty of exciting ARC360 initiatives – the day will focus on just what the past means for the future of the industry and asks is it a completely new world the incident repair sector is operating in or does the past still provide some meaning for the future?
