As manufacturers return to work, best practice guidance can ensure a safe return to work, with social distancing and appropriate PPE being vital for all concerned.
With both the UK’s new car market and used car market – which declined 8.3 per cent during Q1 2020, according to the latest figures released by the Society Of Motor Manufacturers & Traders (SMMT) this week – severely impacted by the lockdown, it is imperative that automotive retailers are allowed to open now to reboot manufacturing and support the UK’s economic recovery.
Following the announcements at the beginning of the week, and some confusion that resulted, SMMT sought urgent clarification from the government on click and collect services for automotive retailers. While it is a welcome development that retailers can now operate contactless click and collect services from outside their premises, showrooms must still remain closed. For a number of reasons, this needs to change.
There is clearly pent up demand in the market, and the opening of showrooms will be a crucial step in rebooting not only the wider industry but also in helping to support the UK’s economic recovery.
The tax income alone on new car sales represents a major contributor to the Treasury, and with no activity this revenue stream lies dormant.
Furthermore, manufacturing plants need an outlet for their products if they are to reopen and ports need to be relieved of some of the stock that has built up during the COVID-19 lockdown.
The UK’s automotive retail industry stands ready to reopen under new guidelines that would ensure all showrooms are safe spaces for customers and employees alike as we exit lockdown. Some major manufacturers have started to return to work recently, albeit at a reduced capacity. This reflects global trends where manufacturing and retail markets are beginning to open.
The COVID-19 Job Retention Scheme has provided a lifeline for many in the automotive sector so its extension recently is very welcome, providing longer-term reassurance to manufacturers and workers during these unprecedented times.
I welcome the adjustment to allow part-time working for furloughed staff as this will answer industry calls for greater flexibility to deliver a safe and successful restart that will support the UK’s overall recovery. I understand full details about the changes will be published by the end of May.
The sooner that flexibility is enabled, the better for all concerned.
Rodney Sadd
Carrington Road
Spalding
