Reacting to today’s Autumn Statement, John Leech, KPMG’s Head of Automotive said:
“The Chancellor has demonstrated the government’s commitment to the UK automotive industry. Doubling export finance capacity to £50 billion will help UK automotive suppliers export to emerging markets like China, India and Brazil. It will also help the UK’s premium car manufacturers as they try to set up production plants oversees.”
Commenting on business rates, Leech said: “The business rates cut will be welcomed by SME automotive component suppliers, a sector that is growing rapidly buoyed by strong growth in vehicle production and by car dealers who often employ huge numbers of people.”
Commenting on fuel duty, MOT and Road Tax, Leech said: “Plans to freeze fuel duty for the remainder of this Parliament and the statutory maximum price of the MOT test for a car, together with the savings from abolishing paper tax discs, will be welcomed by drivers, small businesses and the car industry alike. The savings should help to underpin car sales next year which we expect to be up five percent.”
Supporting the development of driverless cars will push the UK auto industry to forefront, Leech said: “The focus on innovation by the government will help the UK lead in development of driverless cars. Plans to review regulation and legislation that applies to the testing of driverless cars in the UK by global car manufacturers will push the UK as a key player in driverless car technology.
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