6:50 am, January 3, 2025
Manufacturing industry shrinks at fastest rate in 11 months in ‘winter chill’
British factory output contracted at the fastest rate in 11 months in December, amid a swathe of job losses, growing concerns about rising business taxes and a worsening global economy.
The S&P Global UK manufacturing PMI survey, watched closely by economists, recorded a reading of 47.0 in December, from 48.0 in November.
Any reading above 50 indicates activity is growing while any score below means it is contracting.
Tesla reports first year-on-year sales drop since at least 2015 after 1.1% dip
Tesla’s global sales rose 2.3% in the fourth quarter after a sluggish start to the year that contributed to the electric car company’s first year-on-year sales decline since at least 2015.
The annual decline for the Austin, Texas, company came despite offers such as 0% financing, free charging and low-priced leases.
Tesla delivered 495,570 vehicles from October to December, boosting deliveries to 1.79 million for the full year. But that was 1.1% below 2023 sales of 1.81 million as overall demand for electric vehicles in the US and elsewhere slowed.
You can read the full story here.
UK stock markets could get a ‘closer look’ in 2025 amid investment drive
UK stock markets could benefit from falling interest rates, political stability, and a Government drive to boost investment in the economy this year, experts have said, after being overshadowed by the US in 2024.
Analysts predicted that the FTSE 100 could surpass 9,000 by the end of the year, which would mark a roughly 10% boost.
The blue-chip index hit a number of record highs in May after getting off to a strong start to the year, alongside news that inflation was cooling and the UK economy had rebounded out of a recession.
Lidl sales jump 7% over ‘record’ Christmas period
Lidl has hailed a jump in sales over Christmas as shoppers turned to the discount retailer to buy their champagne and party food.
The discount supermarket chain revealed that sales increased by 7% year-on-year, as turnover surpassed £1bn over the four weeks to December 24.
It said it was a ‘record’ festive period for the retailer.
Tax and pay hikes to see firms pay £2,300 more per low-wage worker this year
UK businesses employing staff on minimum wage will see costs jump by more than £2,000 per worker this year – with the tax burden hitting the highest on record, new analysis has shown.
An increase to the rate of employer national insurance and a lowering of the threshold at which it is paid will make it more expensive to employ the lowest paid, according to think tank the Centre for Policy Studies.
The analysis comes after some of the country’s biggest retailers said job losses were unavoidable as a result of tax increases.
Thursday on Car Dealer
James Baggott: My predictions for 2025 – here’s what might happen this year
Our very own James Baggott has been looking ahead and guessing what challenges could be facing the motor trade in 2025. The Car Dealer editor in chief thinks that it could be a year of dealership closures driven by high interest rates and EV oversupply. A stagnant economy suggests steady but unspectacular demand for new and used cars. EV policies may soften, with potential government incentives like scrappage schemes or grants to boost adoption. Used car prices are likely to remain stable due to limited supply.
Used car values fell in December but Cap HPI sees reasons to be cheerful heading into 2025
Used car values dipped by 1.5% in December 2024, with seasonal slowdown cited as the main cause, according to Cap HPI. Petrol vehicles saw the largest drop, followed by plug-in hybrids and electric vehicles. Despite the decline, the market remains robust due to low supply and steady demand. January 2025’s outlook suggests market stability and healthy competition. Cap recommends accurate vehicle assessments and real-time monitoring for optimal decisions.
Vertu appoints new independent non-executive director as Dunelm chief joins car dealer
Amanda Cox, a seasoned executive with experience at Dunelm, Asda, and Marks & Spencer, has joined Vertu Motors’ board as an independent non-executive director. She will also serve on the audit, nomination, and remuneration committees. Chairman Andy Goss highlighted her extensive retail and HR experience, which will aid Vertu’s growth. Cox expressed enthusiasm for contributing to the retailer’s development.
EV campaigners urge government to avoid ‘catastrophic misstep’ and ban full hybrids from 2030
Electric Vehicles UK (EVUK) is lobbying for a ban on non-plug-in hybrid cars from 2030, arguing that their inclusion undermines the UK’s zero-emission goals and consumer confidence in electric vehicles. The Department for Transport is consulting on which vehicles can be sold from 2030 to 2035, while the ZEV mandate sets rising sales targets for electric vehicles. Industry leaders urge balanced policies that promote EV adoption, infrastructure investment, and support for jobs. The consultation runs until February 18, 2025.
Hybrid power still ‘critical’ to Volvo’s future, says UK boss
Hybrid engines play a ‘powerful’ role in helping drivers transition to electric power, according to Volvo’s UK boss.
Nicole Melillo Shaw, managing director of the Swedish brand’s UK arm, has stated that though the firm won’t produce solely petrol-powered vehicles anymore, hybrid power will continue to play a key role.
Speaking to the PA news agency, Shaw said that Volvo didn’t ‘have a plan to involve any more petrol, but hybrid and electrification is really critical to our emissions.
Skoda’s Kamiq gains a new additional grade to boost its appeal
Skoda has added a new Design Edition specification to its smallest SUV, the Kamiq.
The Kamiq acts as a rival to cars like the Nissan Juke, Seat Arona and Volkswagen T-Cross and acts as an entry point to the firm’s range of SUVs.
This new Design Edition comes as standard with the same level of equipment as the existing SE Edition model but adds in 17-inch alloy wheels, black roof and door mirrors and privacy glass. On the inside, the car utilises front sports seats, cloth and microsuede upholstery, a three-spoke sports steering wheel, and red trim on the dashboard.
Happy New Year!
First news of 2025 features the brilliant Škoda Kamiq compact SUV.We’re adding a new trim to the line-up – Design Edition – available to order from 16th Jan.
Carefully curated to deliver a striking look while maximising value for money. #Skoda #Kamiq pic.twitter.com/7QAotkLqQw
— ŠKODA UK NEWS (@SKODAUK_Media) January 2, 2025
UK’s electricity was cleanest ever in 2024, analysis finds
The UK’s electricity was the cleanest it has ever been in 2024, with fossil fuel power reaching record lows and renewables at record highs, analysis shows.
In the last decade, the UK has more than halved its electricity from fossil fuels and doubled renewables, climate and energy website Carbon Brief said.
Its latest annual assessment shows the carbon dioxide pollution for each unit of electricity has fallen to 124g per kilowatt hour, down more than two-thirds from 419g per kilowatt hour in 2014, as the grid has shifted away from fossil fuels.
FTSE 100 jumps on first day of 2025 trading
The FTSE 100 surged on its first trading day of the year, fuelling hopes that the blue-chip index will bounce back after a disappointing 2024.
London’s premier stock market rose 87.07 points, or 1.07%, to end the day at 8,260.09.
At the end of the day in Europe Frankfurt’s Dax index rose 0.48%, while the Cac 40 in Paris rose 0.15%.
Temperatures to plunge as cold snap expected to last at least a week
Temperatures could fall as low as minus 8C on Thursday night as wintry conditions are expected to continue for at least a week.
The UK Health Security Agency (UKHSA) has issued cold weather health alerts for all of England ahead of a week of low temperatures.
Amber alerts have been issued from 12pm yesterday until January 8, meaning a rise in deaths, particularly among those aged 65 and over or with health conditions, is likely, the UKHSA said. Temperatures could fall as low as minus 8C in rural Scotland and northern England, the Met Office said.
