Almost a third of the United Kingdom’s 324 Vauxhall dealerships are set to close inside the subsequent 12 months, in accordance to studies.
Vauxhall franchisees informed Automotive Management “a third of dealerships will go” over the following yr, as PSA – the French automobile massive in the back of Peugeot and Citroen – targets to repair profitability because it takes over Vauxhall.
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The unnamed broker informed Automotive Management: “This is action that the brand needs to take quickly to maintain profitability in the network. It will happen within the next 12 months.”
Vauxhall dealers make use of a median of 38 staff, which means the deliberate closures would see round three,800 other people lose their jobs.
Vauxhall informed Automotive Management any closures inside its community can be “part of the normal business cycle”, insisting that “none are related to the acquisition” by way of PSA.
Speaking to Auto Express, a Vauxhall spokesman mentioned studies of broker closures had been hypothesis, whilst a remark launched by way of the corporate mentioned: “The Opel/Vauxhall PACE! plan [the strategy behind the takeover] is improving the efficiency of the business in all areas. Within the plan, the go-to-market strategy is being carefully reviewed, including the contractual framework with dealers.”
The information follows two rounds of process losses at Vauxhall’s Ellesmere Port manufacturing unit, with 650 voluntary redundancies introduced in earlier months.
One third of Vauxhall dealers set to close