September 2021

58 AFTERMARKET SEPTEMBER 2021 BUSINESS www.aftermarketonline.net W hile greater freedoms continued to be experienced by the majority of the population, the number of people required to enter self-isolation after having been contacted via the COVID-19 app rose sharply, causing a number of issues for businesses including garages. 24 June: Increase in new driver cars as test pass rate hits record high? Could garages could soon see a spike in families looking for servicing and repairs on older cars bought for new drivers? With practical test pass rates at a record high since the start of the Coronavirus pandemic, figures from the Department for Transport show that 49.8% of learners passed the test between April 2020 and March 2021, up by 3.9% on the 2019- 2020 period. However, while there was an increase in passes, overall there were actually 72.7% fewer practical tests taking place in 2020-21 compared to the previous year. Meanwhile, 55.7% of those who took the theory test passed, which was the highest ratio since 2013- 2014, while also being 8.6% higher than 2019-2020. However, the overall number of theory tests being taken was 50% down on the previous year. To view the DfT stats go to :https://www.gov.uk/government/ statistics/driver-and-rider-testing-and- instructor-statistics-april-2020-to- march-2021/driver-and-rider-testing-a nd-instructor-statistics-april-2020-to- march-2021 25 June: Car production still slowed by pandemic supply shortages The Coronavirus pandemic is still impacting on UK car production, with overall numbers still down compared CORONAVIRUS ROUND-UP The ping-demic really bit into staffing numbers across society during the summer as restrictions continued to ease to 2019 as component shortages persist. Despite this, May saw the number of cars rolling out off the line shoot right up, with EVs and hybrids making up more of the total. 54,962 cars were built in the UK in May according to the latest figures from the SMMT, compared with 5,314 in May 2020. However, this is still 52.6% lower than in pre-pandemic May 2019. 429,826 cars were built in UK factories so far this year, 105,063 up on 2019. 95.3% of the extra volume is for export. The industry is still facing component shortages, a situation that is reflected worldwide across the global supply chain as countries attempt to ramp back up to economic activity seen before 2020. For example, a shortage of semiconductors continues. Based on a five-year average, production was down 58% in May and 36.3% for the period January - May. During May, 19.2% of all UK car output was EVs and hybrids, while in the year- to-date one in five vehicles manufactured in the UK were alternatively-fuelled models. However, this share drops to one in 16 for pure battery electric vehicles and one in six for hybrid cars. 30 June: Don’t miss out on the van-demic opportunity says LKQ Euro Car Parts The pandemic has helped turn van servicing, maintenance and repairs into a serious growth area, and garages should not pass up on the opportunity, according to LKQ Euro Car Parts. The home delivery sector grew massively in 2020, and recent SMMT figures show a 9.5% year-on-year growth in registrations of new LCVs, as fleets of all sizes look to keep up with demand. Colin Cottrell, Marketing Director at LKQ Euro Car Parts, said: “Time spent off the road is simply not an option, which is where independent garages and bodyshops come in.” For more information visit https://omnipart.eurocarparts.com 1 July: Furlough terms change for employers Garages and all other businesses still accessing the furlough scheme to pay staff were required to begin contributing from Thursday 1 July. While employees would still receive 80% of their usual pay, the government would now only play 70%, with the employer required to put in the final 10%, up to a total of £2,500 per month. 5 July: New car sales up, but pandemic and semiconductor shortage still impacting New car sales were up 28% in June, with 186,128 sold during the month according to figures from the SMMT, although the ongoing impact of the pandemic is still being felt, as well as the global semiconductor shortage which is limiting supply. While June’s sales were an improvement on the same month in 2020, registrations were actually down 16.4% when compared with the June average between 2010 and 2020, while total registrations for Q2 2021 were around 9,000 lower than expected. Overall, registrations for the first half of the year are down 26.8%. Battery electric (BEVs) and plug-in hybrid vehicles (PHEVs) took a combined 17.2% of the market share, totalling 31,981 units. BEVs made up 10.7%, but PHEV uptake grew even faster for the third month running, following reductions to the Plug-in Car Grant in March. Commenting on the figures, SMMT Chief Executive Mike Hawes said: “With the final phases of the UK’s vaccine rollout well underway and confidence increasing, the automotive sector is now battling against a ‘long Covid’ of vehicle supply challenges.” This latest consequence of COVID-19 simply serves to further highlight the critical state of the automotive sector when it comes to skills ”