6:56 am, November 28, 2024
Aston Martin shares hit after latest profit alert and cash-call
Luxury carmaker Aston Martin has seen its shares come under further pressure after it alerted over profits for the second time in as many months and tapped investors for more cash.
The group revealed plans for the fundraise after the market close on Tuesday as it also warned that underlying earnings would be lower than forecast this year, at between £270m and £280m.
Aston had already cut its outlook in September.
Minister warns of ‘challenges’ for car makers on top of Luton plant closure
The problems facing car manufacturers as they shift to electric vehicles are not confined to Stellantis, Business Secretary Jonathan Reynolds warned after the Vauxhall owner announced plans to close its Luton plant.
Mr Reynolds said ministers did ‘everything we possibly’ could to prevent the closure, which Stellantis said was made within the context of the ‘stringent’ UK zero-emission vehicle (ZEV) mandate.
Mr Reynolds said the announcement of the Luton closure, which puts 1,100 jobs at risk, was a ‘dark day’.
British car production falls for eighth month in a row
The number of cars produced in Britain has fallen for the eighth consecutive month, new figures from the Society of Motor Manufacturers and Traders (SMMT) show.
The trade association found UK factories made 15.3% fewer cars in October this year than October 2023.
It found 670,346 units were produced in the UK between January and October 2024, 10.8% lower than during the same period in 2023.
Nationwide gains £2.3bn from Virgin Money takeover to ‘benefit’ customers
Nationwide Building Society said it has gained £2.3bn since buying rival bank Virgin Money, but reported a drop in profits as the benefit of higher interest rates faded and it dished out cash to members.
The building society said the value of Virgin Money, which it acquired in October, was well above the £2.8bn takeover price.
The tie-up marked the UK’s biggest banking merger since the financial crisis.
ZEV mandate has resulted in £4bn worth of discounts for EVs – report
Britain’s transition to EVs has started to raise concerns after analysis has shown the ZEV mandate has led to a total of £4 billion worth of discounts for EVs.
The Society of Motor Manufacturers and Traders (SMMT) analysed data taken from one of the country’s leading used car marketplaces – Auto Trader.
It looked into its EV discounts as well as its own estimated fleet discounts and investigated data from the EV car market data, too.
Wednesday on Car Dealer
Used car supermarket Motorpoint back in profitability after strong first six months of 2024
Motorpoint returned to profitability in the first half of fiscal 2025, posting a £2m pre-tax profit versus a £4.7m loss previously. Revenue dipped slightly to £563.1m, but gross profit improved due to better pricing and stock management. Retail sales rose 10.2%, with a market share increase to 2.5%, driven by operational efficiency and the ‘Brilliant Basics’ strategy.
The 2024 Car Dealer Used Car Awards celebrated the best in the industry at The Brewery in London. Sponsored by Black Horse, the event honored winners across 31 categories, featuring glitz, a festive atmosphere, and a fun casino. Attendees enjoyed networking, entertainment, and a lavish evening. Photos from the night are available on the our Flickr page.
Government launches ‘fast-track consultation’ on ZEV mandate as Luton closure piles on pressure
The UK government has launched a fast-track consultation on the Zero Emission Vehicle (ZEV) mandate, addressing concerns from industry leaders. Business Secretary Jonathan Reynolds acknowledged that the policy isn’t working as intended and pledged to explore better approaches while maintaining the 2030 petrol and diesel sales ban.
Petrol and diesel used car prices fall the most as November sees average 1.6% drop
In November, used car prices dropped by 1.6%, with petrol and diesel vehicles declining the most at 1.7%, according to Cap HPI. Meanwhile, hybrids performed better, falling only 0.7%. Despite seasonal pressures, the used car market showed resilience, bolstered by robust SUV sales, which represent 60% of the market. For more details, visit Car Dealer
‘Incompetent’ and ‘dishonest’ FCA comes under fire as motor finance investigation continues
A parliamentary report has sharply criticized the Financial Conduct Authority (FCA), labeling it ‘incompetent’ and ‘dishonest’ for mishandling whistleblower reports and financial wrongdoing, including the motor finance scandal. The findings suggest systemic cultural issues, with allegations of bullying and inaction.
The Jaecoo 7 SUV will be priced from under £30,00
The Chinese firm, Jaecoo, has announced prices and specifications for the 7 – its first model in the UK.
The C-Segment SUV will be rivalling cars such as the Ford Kuga and Kia Sportage. Plus, there will be a choice of two different powertrains.
The entry-level unit is a 1.6-litre turbocharged four-cylinder petrol engine that develops 145bhp and 275Nm of torque. This model is available with a choice of front or four-wheel-drive.
Flood-hit residents and businesses ‘lose everything’ after Storm Bert havoc
Homeowners and businesses said they ‘have lost everything’ as flash floods and strong winds wreaked havoc during Storm Bert over the weekend.
Hundreds of homes were flooded, roads were turned to rivers and winds of more than 80mph were recorded across the UK during the height of the storm.
The third storm of the season – Storm Conall – followed just days after on Wednesday, bringing more heavy rain, flooding and travel disruptions to parts of southern England.
The markets
The FTSE 100 rose slightly on Wednesday, led higher by retail and property stocks, as a gauge of US inflation favoured by the Federal Reserve showed prices rising faster.
London’s blue-chip index rose 16.14 points, or 0.20%, to end the day at 8,274.75.
At the end of the day in Europe Frankfurt’s Dax index fell 0.18%, while the Cac 40 in Paris fell 0.72%. In New York, a little while after markets had closed in Europe, the S&P 500 had fallen 0.35%, while the Dow Jones was 0.05% higher.
Weather outlook…
The UK will today experience cold weather with frosty and icy conditions in many areas during the morning.
Sunshine is expected alongside wintry showers, mainly in exposed northern and coastal regions.
Snow is possible in some parts of Scotland. Winds and showers will ease by the afternoon, bringing clearer skies. Daytime temperatures will range between 1°C and 6°C, with overnight lows potentially dropping below freezing.
