Future Retirement Success
  • Politics
  • Business
  • Investing
  • Stocks
  • Politics
  • Business
  • Investing
  • Stocks

Future Retirement Success

Business

Carmakers face further hurdle as pound falls

by September 29, 2022
September 29, 2022
Carmakers face further hurdle as pound falls

Just as pandemic-related supply chain dislocation among motor manufacturers has begun to abate, carmakers have warned that they are being hit by the sharp fall in sterling and rapidly rising energy costs.

The latest UK car factory output figures were only 50,000 in August, a rise of 34 per cent on the previous August when factories were recovering from Covid lockdowns and restrictions. For the year to date, volumes remain down by 13 per cent, with the annual production rate of 781,000 less than half of the 1.7 million achieved in the pre-Brexit days of 2016.

British carmaking is dominated by Jaguar Land Rover, Nissan and BMW, with its Mini and Rolls-Royce marques and Aston Martin with its BBX SUV model built in St Athan, Wales.

More than three quarters of cars made in Britain are for export. A dramatic fall in the value of the pound notionally helps exports, but more than half the components used in British-built cars are imported and are made dearer by weaker sterling. Carmakers are also facing rises in the costs of energy and raw materials, as well as post-Brexit trade friction.

The Society of Motor Manufacturers and Traders said the total energy bill for the UK car industry had risen by £100 million a year to £300 million.

Richard Peberdy, head of automotive consultancy at KPMG, said inflation and a weakening pound were driving up costs. “Passing costs to the consumer is becoming increasingly challenging,” he said.

Read more:
Carmakers face further hurdle as pound falls

0
FacebookTwitterGoogle +Pinterest
previous post
Biggest rail strike of the year set to cause weekend of chaos
next post
Vodafone takes title as UK’s most valuable brand

You may also like

Ashtead to shift primary listing stateside, dealing fresh...

December 10, 2024

Bank of England Raises Interest Rates to 5.25%:...

August 3, 2023

The Business of Online Gaming: How Digital Gaming...

December 10, 2024

Welsh start-up accelerator announces award-winning entrepreneurs ready to...

December 17, 2024

Plans To Help Cut & Save On Energy...

October 24, 2022

Amazon invests in the UK’s largest e-HGV fleet,...

January 14, 2025

Meta plans feed for Threads after users complain

July 11, 2023

M&S shifts up a gear with sewage-powered lorries...

January 15, 2025

HMRC to appeal Gary Lineker IR35 case

June 26, 2023

Temu: How Can I Make A Change or...

March 17, 2023

    Get free access to all of the retirement secrets and income strategies from our experts! or Join The Exclusive Subscription Today And Get the Premium Articles Acess for Free

    By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

    Recent Posts

    • Biden only hand-signed one pardon during final spree, and it was his most controversial one

      June 5, 2025
    • GOP bill takes aim at Congress’ ‘no rules apply’ emergency spending

      June 5, 2025
    • White House highlights Pelosi hypocrisy after Schiff demands Trump admin financial, ethics docs

      June 5, 2025
    • Musk says Trump would have lost 2024 election without him as ‘Big, Beautiful Bill’ feud continues

      June 5, 2025
    • Ex-Biden advisor calls Jean-Pierre ‘kinda dumb,’ deletes tweet, says she’s not a ‘genius-level Black woman’

      June 5, 2025
    • Harmony Squad: Supreme Court Issues Six Unanimous Decisions

      June 5, 2025

    Categories

    • Business (8,149)
    • Investing (2,011)
    • Politics (15,538)
    • Stocks (3,128)
    • About us
    • Privacy Policy
    • Terms & Conditions

    Disclaimer: futureretirementsuccess.com, its managers, its employees, and assigns (collectively “The Company”) do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

    Copyright © 2025 futureretirementsuccess.com | All Rights Reserved