Car showrooms to reopen
In what has come as welcome news for car manufacturers, many showrooms will reopen from today.
This comes as part of the Government’s plans to allow selected non-essential shops to open. Boris Johnson confirmed the car dealerships in England would be included – on the condition of meeting strict social distancing guidelines. However, any retailer unable to meet the social distancing criteria will need to remain closed for the time being.
As we previously reported, sales of new cars dropped a huge 97% in April. Of the cars that were sold in this period, the majority were to business customers. In turn, the Tesla Model 3 was the unlikely best-seller.
Whilst showrooms have remained closed, they have been still able to operate a remote ordering and delivery service. However, with potential new car owners unable to inspect the car first and still wary of the virus, this has been largely unsuccessful.
However, research from WhatCar? suggests that nearly one in five car buyers are preparing to purchase a new car now showrooms are reopening. Great news for under-pressure retailers and manufacturers. Many dealerships will have excess stock they will be desperate to sell – therefore it could be a excellent time to secure a competitive deal on a new car.
Unroadworthy cars to return to the road
With lockdown seemingly showing signs of easing, new figures suggest that over a million cars are set to return to the road in an unroadworthy or unsafe condition.
Research from Kwik-Fit estimated that these vehicles (subject to the automatic 6-month MOT extension) would have failed their test. Moreover, this includes 316,000 with a dangerous defect, and 780,000 with a major defect. Such defects are likely to mean the car is unsafe to drive and putting road users at risk.
Moreover, further research suggests that half of those to receive an MOT extension do not plan do have their car tested until the very end of the extension period.
As a result of the above findings, many people are campaigning for the MOT extension initiative to now end.
Fuel Price Update
Fuel prices remain low, and in further good news for motorists, a supermarket price war has broken out. Morrison’s were the first retailer to drop prices below the £1 a metre mark and others quickly followed suit. Meanwhile, Asda has announced that fuel prices will remain at £1 a litre at all of the pumps throughout the country during lockdown.
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