6:50 am, October 28, 2024
No tax hike ‘on payslips’, minister insists amid confusion over ‘working people’
Working people will not see higher taxes ‘on their payslip’, a minister said as she acknowledged frustrations over the Government’s refusal to spell out who will be hit by greater levies ahead of the Budget.
Education Secretary Bridget Phillipson repeated warnings that Wednesday’s financial statement will include ‘tough choices’, but she insisted it is a choice between investment or decline for the UK.
However, the Cabinet minister refused to say whether a small business owner earning £13,000 a year is considered a ‘working person’ who should be protected from tax rises in Rachel Reeves’ first Budget.
Average cost of car insurance falls by £72 year-on-year
The average cost of car insurance now stands at £776 following the first yearly fall in average car insurance premiums since June 2022.
The average cost of car insurance has fallen by £175 since it hit a peak of £951 in November 2023, though premiums have increased by £14 between August and September, according to data from Compare the Market.
August and September of this year were, however, the first months where car insurance has been cheaper than the same period in the previous year since June 2022.
Reeves announces funding for crumbling schools and childcare ahead of Budget
Rachel Reeves has announced £1.4bn to rebuild crumbling schools and a tripling of investment in free breakfast clubs as part of her first Budget.
The Chancellor said children ‘should not suffer for’ the dire state of the UK’s public finances, despite the Labour Government needing to fill what it describes as a £22 billion “black hole” of overspend.
However, economists cautioned that most of the funding announced on Sunday would be enough only to keep existing initiatives going.
What’s been going on at Car Dealer
We need to talk about customer retention: Richard Pygott takes a look at major industry issue
The motor trade struggles with customer retention due to its focus on new sales targets over building long-term relationships. Richard Pygott’s recent LinkedIn poll showed only 8% of respondents believe dealerships retain customers effectively, with 68% disagreeing. Although perks like service discounts are offered, CRM systems could improve retention by personalising customer interactions. Focusing on loyalty could offset high customer acquisition costs, creating a more sustainable growth strategy.
BYD comes under fire from safety experts as latest Euro NCAP scores are revealed
BYD’s Atto 3 SUV received a low score in the latest Euro NCAP driver-assistance safety tests. The Chinese vehicle struggled in adaptive cruise control, failing to read road signs accurately and poorly handling stationary objects. Notably, if drivers were unresponsive, the system would disable steering and speed control, raising serious safety concerns. Meanwhile, BMW’s i5 and Mercedes’s C-Class performed well, showing robust safety features and driver engagement alerts.
Close Brothers stops underwriting new dealer finance after landmark court ruling
Close Brothers has temporarily halted underwriting new motor finance after the UK Court of Appeal ruled in favor of three consumers, requiring dealers acting as credit brokers to fully disclose and gain consent for commissions. The decision highlights a fiduciary duty dealers owe to customers, surpassing existing FCA rules, leading Close Brothers to announce it will challenge the ruling in the Supreme Court. The FCA is also examining the implications as part of its ongoing motor finance investigation.
Renault surprises markets with strong Q3 results as French brand bucks industry trends
Renault reported surprising revenue growth in Q3, with sales reaching €10.7bn, beating forecasts of €10.35bn, and leading to a share price jump of 7.6%. Despite industry-wide European declines, Renault has maintained its volume forecast, driven by strong electrified vehicle sales (47% of Renault brand sales) and high transaction prices on EVs. CFO Thierry Pieton highlighted efficient inventory and order management as key to Renault’s resilience against supply challenges faced by competitors.
JLR dealer does the heavy lifting with discounts for local gym members
South Coast-based Hendy Group has launched a unique lifestyle marketing campaign by partnering with David Lloyd health club in Poole to offer gym members £500 in free accessories when they purchase a new or used Jaguar or Land Rover from Hendy’s Christchurch dealership. The offer includes popular models like the Range Rover Sport, Jaguar F-Type, and Land Rover Defender.
Carwow appoints Daniel Boakes as new commercial director of Sell My Car division
Daniel Boakes has joined Carwow as the new commercial director for its Sell My Car division. Previously at Cox Automotive for 11 years, Boakes held key roles including director of dealer development and senior positions in buyer services. Reporting to chief commercial director Sally Foote, he will lead strategic growth initiatives and expand Carwow’s trade buyer network. Foote praised Boakes’ expertise as integral to Carwow’s ongoing enhancements, including 24/7 bidding and a new charging model.
Why it’s crucial that dealers understand the Consumer Rights Act
Car dealers must be well-versed in the 2015 Consumer Rights Act (CRA), which protects consumers and outlines their rights in vehicle purchases. This act is essential in the used car market, where issues may arise unexpectedly. That’s according to Oodle Car Finance’s Ciara Raison, who explains that the CRA defines terms like ‘satisfactory quality’ and ‘fit for purpose’ that guide dealers in handling returns and repairs effectively, protecting both businesses and consumers. Familiarity with these legal standards helps streamline transactions and safeguard the dealer’s reputation.
BP and Shell to reveal lower profits amid decline in oil refining margins
BP and Shell are this week expected to post lower third-quarter profits than in 2023 against a backdrop of weak oil prices and faltering demand.
The energy giants warned of a slump in profit margins at their oil refining businesses – major parts of the firms’ overall income streams – earlier this month.
The slide in margins comes partly as a result of a more general downturn in global demand for oil recently, across consumer and industrial sectors.
Labour MP loses whip after video appears to show him punching man
Mike Amesbury has lost the Labour whip after a video emerged appearing to show him punching a man to the ground.
The party said the Runcorn and Helsby MP had been suspended ‘pending an investigation’ into the incident.
It comes after footage obtained by the Mail Online appeared to show Mr Amesbury, 55, repeatedly hitting another man as others nearby shout ‘stop it’.
The markets
The FTSE 100 fell slightly on Friday, ending the week more than 1% down as investors focused on the upcoming autumn Budget.
London’s blue-chip index fell 20.54 points, or 0.25%, to end the day at 8248.84.
At the end of the day in Europe, Frankfurt’s Dax index had risen 0.02%, while the Cac 40 in Paris had closed down 0.09%.
Weather outlook…
The UK is today expected to experience generally mild weather with maximum temperatures around 15°C (59°F) in London.
Scattered showers are anticipated in parts of the country, primarily impacting western regions, while southern and eastern areas may enjoy drier conditions.
Temperatures will stay moderate, though cooler mornings may bring patches of fog in some areas.
