INSOLVENCIES among UK car dealers have doubled this year, according to a report.
The report, from consultants and accountants Ernst & Young, said franchised dealership insolvencies to the end of August, totalled 24, compared with only 12 in the January- August 2008 period.
It said: “Plummeting car sales, heavy discounting of new vehicles and lower levels of servicing work have combined to have a catastrophic effect on the automotive retail market. The most promising indicator of a recovery in new car registrations was likely to be a return to gross domestic product growth.”
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