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

Airbus finalises deal for Spirit plants in Belfast...

April 29, 2025

Eyal Avramovich – Entrepreneur and Investor Pioneering the...

December 18, 2024

Why Are You Losing YouTube Views

December 5, 2022

YouMusic AI: Create AI Music for Free (2024)

October 30, 2024

BT Scraps Digital Landline Switch Deadline Amid Vulnerability...

May 21, 2024

The Complete Guide to Banking as a Service...

February 19, 2024

British Steel to cut up to 2,700 jobs...

March 27, 2025

Government encourages pubs to open early so country...

August 18, 2023

Royal Mail fined record £10.5m for late deliveries

December 13, 2024

Women required to provide more evidence of their...

April 4, 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

    • Rubio condemns assassination attempt on Colombian presidential candidate Miguel Uribe

      June 8, 2025
    • Obama WH physician says Biden doc should have performed cognitive test

      June 8, 2025
    • Trump warns of ‘serious consequences’ if Elon Musk funds Democrats

      June 7, 2025
    • Musk jokes about reconsidering stance on Big Beautiful Bill after Schiff’s praise

      June 7, 2025
    • Musk deletes explosive posts about Trump and Epstein files

      June 7, 2025
    • House witness flips script on Dem who ambushed him during hearing with unearthed tweet: ‘Iceberg is ahead’

      June 7, 2025

    Categories

    • Business (8,152)
    • Investing (2,019)
    • Politics (15,570)
    • Stocks (3,136)
    • 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