It seems that constantly we are being told of the doom and gloom of the UK’s recent Brexit vote so it certainly was a pleasant change to read this blog article by MOTASOFT which gives one highly plausible scenario suggesting silver linings rather than doom and gloom for the independent vehicle repair sector…
Brexit according to the man in the pub…
Well didn’t the Brexit vote catch many in the established order on the hop? Even if the pollsters couldn’t reliably measure and the pundits properly predict it, if the media had simply asked the man in the pub they would have likely have got the right answer 7 times out of 10. Despite this strong popular feeling on the streets outside of the of UK’s cities, the result was actually very close. Indeed statistically the result – 48.1% remain and 52.9% leave – means the outcome could almost have been decided by the toss of a coin.
From the Prime Minister to the 10 Downing Street cat, many in the Westminster bubble seemed to be totally unprepared for a majority of UK voters opting to leave the EU. Many critics of the state of politics today see this as a very visible sign of the disconnection between ordinary citizens and those that are meant to wield power on our behalf. Perhaps this turbulent time will change things for the better and lead to a ‘bloodless revolution’ in the way politicians listen to the concerns of ordinary people.
What does Brexit mean for the independent motor trade?
The inability for many to see the likely outcome of the EU referendum simply indicated the uncertainty attached to it. When we try to predict what will happen to the economy in the wake of the Brexit vote, then uncertainty is again the order of the day. This makes it hard to predict the impact on the real economy and its effects on independent motor businesses; however, here is one highly plausible scenario that suggests silver linings rather than doom and gloom:
- Uncertainty causes people to defer major purchase decisions. As a result the new motor trade is likely to see a fall in luxury car sales as people keep hold of vehicles for longer
- For independent garages this is likely to lead to more maintenance work for the upkeep of the vehicles people opt to hold on to
- For those that need to purchase a vehicle but don’t want to commit to a new purchase used car sales become attractive and this could stimulate sales and P/Ex for independent garages