The car industry's future health is in jeopardy until tariff-free access to the European Union is secured, Peter Johnson, chairman of the Retail Motor Industry Federation (RMI), has warned.
Highlighting the implications of no agreement being reached following Brexit, Johnson said: “The UK’s automotive sector is a global leader and the future state and success of the industry could be jeopardised if a trade deal is not secured to allow tariff-free access to the European single market, following our vote to leave the EU.
“It is now essential that the Government makes a commitment to outline a clear negotiating position in order to ensure our industry has what it needs to secure its future success."
The RMI represents businesses that provide motor industry services and support to motorists across the UK. Its mission is to lobby for “higher standards of operation for the benefit of both consumers and the sector as a whole".
Johnson added: “It is vital that the Government encourages both economic and consumer confidence and enables investment in order for the retail motor industry to progress and thrive in a stable environment."
His words echo those of Society of Motor Manufacturers and Traders chairman Mike Hawes, who has repeatedly called on the Government to establish stable terms during a transition period while Brexit plans are negotiated.
UK car sales fell in September for the first time in six years, with industry leaders blaming business and political uncertainty, as well as confusion over future air quality plans.