Paul Everitt, chief executive of the Society of Motor Manufacturers and Traders, spoke on the outlook for the UK motor industry in the wake of recession at a dinner held last night by professional services firm KPMG.
Providing an overview for 2010 and the challenges faced by industry, Mr Everitt used the speech to emphasise the importance of the UK motor industry to the UK economy and outlined industry’s call for fiscal and political support for the new vehicle market and manufacturing sector.
Providing a short-term industry outlook, Mr Everitt said, “There is no doubt that 2010 will be another tough year for UK automotive. The latest SMMT forecasts reveal a new car market of 1.8 million, whilst vans will hold steady at 186,000 in 2010. The prospects for UK motor manufacturing are perhaps more positive. The main political parties now recognise that a more balanced economy means less reliance on finance and banking and more active support for industries that design, develop and manufacture goods and services to sell around the world.”
He continued, “Last year saw the publication of New Automotive Innovation and Growth Team report on the future of the motor industry, which ultimately led to the establishment of the Automotive Council. Charged with creating a long-term partnership between industry and government, the two key themes for the Council are exploiting the transition to ultra-low carbon vehicles and strengthening the UK supply chain. An independent report, published by SMMT this week, shows that all of the major vehicle manufacturing plants in the UK are strongly interested in increasing their sourcing from UK-based suppliers.
“The global automotive market remains tough and uncompromising. We will doubtless see good and bad news on investment and jobs in the months and years ahead. But I do feel that the political and economic experience of the last 18 months signals new opportunities for our industry."
