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Yes Mot’s won’t need done for 6 months but cars will still have faults, they will wear out tyres, brakes, service lights will come on, The new Vauxhall’s for example go into limp mode if they overrun there service intervals by a decent bit. If a car is in with us for anything we give it a quick skim over and give the customer a list of advisories if any. Some choose to do them some don’t, we don’t push sales just give advice. We have went from doing 10/15 Mot’s a week to doing about 2/3 but we are still sending out mot reminders to customers as if there car is properly maintained the actual test doesn’t cost much.

I think this depends a little at what ends of the market you are working at and if you are not careful you will just slash prices for the sake of it when there will be no need. i think there may be a slight dip initially with dealers holding back and seeing what's happening but realistically I think supply won't be great. There will be what's sitting at the auctions now ready to go but it will take a while for the main dealers to get back up to speed with the part exchanges coming through which means supply will be low initially which I think will help prices. i have been in the game a while and have worked through a couple of recessions and if you are not careful you will talk yourself into working for nothing and we carried on selling through them profitably. just keep an eye on the auction prices and if they start nudging down just be mindful deal your self out of what you have when you can, and restock at reduced prices. i for one will not be slashing prices from the word go.

your nearly right on this one, the stocking loan company's have all given good or reasonable extensions so that is not the reason, the reductions you see are likely because of the other overheads and pressure. note - opinion formed whilst sat in my slippers not pointy shoes, based on supplying many of these dealers nationally for many years.

you think wrong then, i'm a trade buyer, started in 1982, happy to compare cv's with you anytime. explain how you think a customer suddenly has an 18 month mot? the 6 month extension is just that, which means none of it matters regards what is due a test next year, simply every car will be due a test next year which was the original o.p question. anyone who thinks the 6 month extension will be rolling after lock down is deluded.

no reason for it not to end after easing of lock down, an mot like insurance and road tax is a legality, and to many on here presuming their customers won't bother having a "late" mot instead using the 6 month rule (note current rule). not everyone is riding around in shite, plenty will want their cars tested again asap.

james, maybe you could get to talk with one of the bigger fleet operators? would be nice to know their opinions on short term values and expectations regarding a possible influx of early fleet returns from the inevitable business reductions / closures. failing that maybe someone from CAP or GLASS who tend to be in daily contact with the fleets anyway. cheers.

you can hold your nerve all you like regards pricing, but the trade don't dictate values the market does based on demand - unless you are very specialist. pricing will all come down to how much a dealer needs to make a week, many will hold nerve many won't. regards replacing stock, it has been a shocker during this crisis seeing how many smaller dealers are 100% reliant on buying stock from auction.

Interesting read James

Thanks James

If you want an honest and interesting take on just how all this will affect the industry you'll like today's Car Dealer Live, that's not live anymore, but still just as good to watch. It was 40 minutes or so of very interesting chat with a team of people who really know this industry. Autocar editor, editorial director and MD all joined me. I really enjoyed it and learned a lot - if you have some time over the weekend you can watch it here... https://cardealermagazine.co.uk/publish/car-dealer-live-26-autocar-editorial-director-jim-holder-editor-mark-tisshaw-managing-director-rachael-prasher/191297

If B&Q can open I cant see why a car dealership can not open.

More bullshit.I do not know any good workshops who were down 50% before lockdown.The problem I constantly hear is that they cannot get good all round mechanics anymore.There must be thousands of vacancies.I know one place who recently employed a good all round mechanic,overall it took 6 months to get him.It is probably easier to sign an out of contract top premier league striker.

agreed, i have seven to do the garage we use already has a backlog of work to get stuck into.

just read this on a business website = While the tenant isn’t in a particularly strong position in the absence of express wording in the lease, landlords are facing their own pressures and will be keen to adopt a commercial approach. A tenant does not become a “bad tenant” overnight, so if the landlord feels that the occupier is able to weather the storm, they will at least have a tenant in place once we do reach calmer waters. The alternative for the landlord is forfeiting and risking an empty unit which they’re unable to fill for the foreseeable future. Open and honest dialogue is the best way forward for both landlords and tenants.

Its been hard to replace stock because theres nothing out there to buy. BCA are selling 100 crappers a day, Mostly grade 3-5 stock that was clogging up their yards. Manheim effectively closed, Aston Barclay and Flag running the odd small sale. Most of the big fleet sellers have sat on their hands and decided to sit it out, cant buy anything out of VWFS or Mercedes for example. They will crawl out of their shell eventually and flood the market. Pretty sure your fiesta/astra/mondeo stock will still be fine but above 15K there is going to be excess supply and stuff will be cheap. Thats before we even consider the amount of dealers that are 6-8 weeks away from going belly up. Not saying its panic stations but cant see any benefit in holding back current stock.

Most of the guys quoted are not car dealers like us,they are just rotating employees with no skin in the game and bullshit theories.It is easy for them to say ‘hold your nerve’.You have to factor in what happens if prices at the block plummet for similar stock to yours ( like 08 ).A competitor near bye might be buying them and knocking them out a grand or more cheaper.So what do you do,you can’t just sit still with £x grand p/w overheads doing zero business and guess when things might return to normal.I may be wrong,but I don’t think Car Giant did that after 08 and no one is better than them.

Excellent article The thing to remember unless you need to have a fire sale is Selling tenners for fivers and then having to pay tenners for fivers makes absolutely zero sense. Hold tight.’ is the fullest answer I'm sure we've all mugged stock away at less than cost then just gone out and bought the same stuff again

Surely we are key workers ? we keep the nation mobile ? spoke to a few people tonight and they were quite taken aback that we are closed, i was asked "but surely, no one is going to buy a car unless they genuinely need one" [ the odds are i think he was correct] ? Also asked but what if a key worker needs a car, and not got the money for a big purchase that could be delivered [ they understood that delivering a car under, lets say, £5k is a big risk both for the buyer and the seller ] how true. If the hardware shops [ b and q selling plants lol] that are allegedly supplying plumbing and electrical items to keep us safe in our homes, then supplying a key worker with transport is not "none essential" ? Garages are open, but what if the repair for the key worker is not economical ? Maybe some kind of restriction regarding sales only to key workers could be introduced ? are we surely not key workers? just thinking out loud , your opinion ?

Good article James. I think certain sectors will be stronger than others, when we all reopen. I think the cheaper end will be busy, with less people taking public transport. Not so sure about the luxury prestige end of the market. If will be nice to not get the " £5000 cash in your hand today mate" messages, on a £7500 van. lol

Thanks James, a good detailed article there. Personally I think it will depend on mainly 2 factors, 1) the approach of stocking loans providers, 2) whether dealers can save on fixed costs eg rent, salaries when some kind of partial- or gradual restart to the economy occurs. The second point applies to the wider economy, without that then sure, supply and demand will be very unstable and cause a lot of variation in prices.

Key workers? I admire your optimism.

Wife got the silver cross over the McLaren We did go for the updated suspension and the white walls of course

Excellent choice,those McLarens are really good.We could only afford a Silver Cross,paid in readies.

The way I translate that is.You we’re going to buy a daft car for yourself with your own money at retail from a main dealer.Please tell me I am wrong . I don’t understand PCP chucky agreements that much but will hirers not be offered extended deals at cheaper rentals to protect residual values..................oh and I agree it would be great for the economy up there if tuna arrived in Scottish waters !!!!

Its only common decent of them to give you an answer at least .

Here is a update So to reduce all overheads, and, watch cashflow, i started at the top. Few week ago i contacted the landlords, by phone, i would have preferred eye to eye, [ previous to the call a email was sent, no reply ] on the phone i find office staff are "off" ? I explained in detail about "none essential" and it was if the chaps had never even heard of lock-down ? other than they had to queue in the bank 2 metre apart, i explained i was being "forward looking in my plan" and not burying my head, i asked for 50% reduction for the next quarter, at this point i was requestioned why ? so repeated the scenario, drawing particular attention to my thinking this is not a 3 week lock-down for us, i was told i would be rung back, it was vaguely infered that 50% could be setback 3 month, which i refused citing thats just putting a debt forward and i did not want a rent "holiday". Over 25 years at my place, and being tidy, good payer etc expected a call, now do not get me wrong this place ticks most boxes, and last year i gambled and expanded, and it had proved a good move, and would be very difficult to find similar, [ don't tell the landlords that ! ] that is, of course, today, tomorrow may be different ? Leaving it a while, let the news seep in a bit further, let them see the shops closing etc, i wrote a letter, explaining in detail again, my proposal, even enclosed a sae for prompt reply ! That was last Wednesday, no reply, not even decent enough to state yes, or repay in 3 month, or no, not all. They have no mortgages on these properties by the way, on checking my property this week, one business has "disappeared" and another is in the process of moving out, neither i know, the landlords know about ! So, mmmm, thanks landlord, "all in it together"? doubt it, time for a rethink.........