SMMT’s Vehement Response to Industry Committee

The Trade and Industry Select Committee report on The UK Automotive Industry in 2004, has stated that the UK is “a good venue for automotive production.” It also went on to suggest that the industry calls for consistent implementation of EU regulations and strict monitoring of EU-wide schemes for emissions trading.

There was good news for the SMMT Industry Forum and Automotive Academy, which was praised for its work in improving competitiveness and addressing the skills shortage. However, it criticised falling new car prices and the action taken to open up the market for independent service and repair outlets.

The SMMT was disappointed with the criticism and has issued a contentious response following the release of the report. Chief executive Christopher Macgowan commented: “The fundamentals of this report are good news for the industry. While the sector is not without its problems, the Committee has recognised the steps taken to address issues of competitiveness and skills through organisations like SMMT Industry Forum and the new Automotive Academy.

“By continuing to work closely with the government we can ensure that threats identified in the report, such as the cost of regulation and low levels of investment in research and development, do not erode the UK’s significant automobile production and supply base.”