Underwoods Kia Colchester, Oct 2022Underwoods Kia Colchester, Oct 2022


Car dealership pulls out of new car sales completely following the loss of third franchise this year

  • Underwoods Motoring announces it will be closing all of its new car sales sites
  • It will also be leaving Colchester completely after April 29 when its Kia showroom closes
  • The dealer group will only operate used car sales and garage services in Clacton, Sudbury and Tiptree
  • It retains approved repairer status for Vauxhall, Ford, Skoda and Kia

Time 8:16 am, April 15, 2023

Dealer group Underwoods Motoring has announced it is pulling out of new car sales completely following a number of changes with its manufacturer partners. 

The car dealer, which has locations across Essex and Suffolk, put a statement on its website yesterday saying that it would be moving to only used car sales and garage services.

This follows reports that the group had lost its new car franchises for Skoda and Vauxhall in Colchester  and it was announced yesterday that it would also lose Kia in the town, with its showroom closing on April 29.

The group has represented Kia for over a decade in Colchester and Glyn Hopkin will take over the franchise in this location.

On March 31, the group closed its Skoda dealership after nearly 20 years with the brand and it announced this week its Vauxhall showroom would close after more than 25 years.

As part of the announcement, Underwoods Motoring said it will be pulling out of Colchester completely and operating instead only from its sites in Clacton, Sudbury and Tiptree.

It wrote on its website: ‘Like all things, change is inevitable.

‘With major changes in the way that motor manufacturers wish to operate with their appointed dealer representation, Underwoods too must change.

‘We are moving away from representing car manufacturers as their appointed Main Dealer for New and Approved Used Cars.

‘We are also leaving our Colchester location, which you will be pleased to hear will continue as automotive dealers, but with new management and brands.’

It added: ‘We will continue to hold Authorised Repairer Status for Vauxhall, Ford, Skoda and Kia, allowing us to provide Warranty support for these brands, as well as day-to-day garage services including; Servicing, MOT (inc. Class 7) and Repairs at our Bodyshop.

‘We are dedicated to providing the best service and continued support to all drivers we have supplied vehicles to.’

Talking about the decision to close its Kia showroom in Colchester, The Gazette reports MD Gerry Wiggins said: ‘The decision to close was not one of Underwoods’ making, as we have been successfully representing Kia in Colchester for over ten years.

‘As I am sure you are aware, these are changing times within the motor industry, including online sales.’

Image credit: Google Maps

Rebecca Chaplin's avatar

Rebecca has been a motoring and business journalist since 2014, previously writing and presenting for titles such as the Press Association, Auto Express and Car Buyer. She has worked in many roles for Car Dealer Magazine’s publisher Blackball Media including head of editorial.

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