SERVICE AND REPAIR WORKSHOPS DROP BY A FIFTH

The number of service and repair outlets has dropped

The number of service and repair outlets has dropped

The number of service and repair workshops in the UK has fallen by over a fifth since 2001.

That’s according to the latest Trend Tracker report, which blames falling servicing volumes and increased costs for part of the fall in workshops.

Trend Tracker estimates that between 2001 and 2011 the number of service and repair outlets fell from 27,159 to 21,119  – a drop of 22 percent.

Trend Tracker Analyst Chris Oakham said: “Falling servicing volumes and a near-stagnant car parc in the UK have left many workshops struggling, but there are other issues at play.  Small businesses across the economy are being affected by inflation in fixed costs, while advances in modern vehicles’ electronics require greater investment in training and diagnostics equipment.”

The report also makes a startling prediction – that the trend will continue and that the remaining garage sector will decrease by a further seven percent by 2017.

There is hope for the future, however, previous Trend Tracker report also reveals that the value of the UK aftersales market has grown in recent years to be worth £8.97bn excluding MOTs and VAT. For those who survive the current cull then, there should be more work to go around and better profits to be made.

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