motor trade insurance

UK bodyshops fall in number

by Tim on January 26, 2010

The number of bodyshops in the UK has been falling in number, accelerated by the recession and various other factors.

The recession is the main perpetrator of the repair sector’s decline. A recent report found on Motor Trader states that the number of car body repairs has fallen 7 per cent — most likely a combination of drivers avoiding insurance claims and unwilling to increase private costs in tight times.

Whilst the recent snow and ice kept a few lucky bodyshops busy, it won’t help the shrinking industry in the long term. Within the last decade over 2000 individual bodyshops have closed down, with more than 15 per cent of these going in 2007-2009.

The report, originally published by Trend Tracker, predicts that the bodyshop sector will continue to decline due to a slow economic recovery, with consumers still unlikely to spring for unnecessary repairs privately. There is also the factor of ever improving  car technology — often new technology is harder for non-specialists to repair, placing more finacial pressure on garages to train staff to use new techniques. The report predicts a fall in ’shops of around 18% between 2010 and 2015.

One tip that the report gave to existing motor traders was to specialise –many bodyshops will not be investing, but those that do will be more likely to outperform their rivals.

The Quotiva Network has helped thousands of traders find the best quote for their motor trade insurance. Just fill in one simple form and we’ll do the rest of the work for you.

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