ISSUE 10 MEMBER PROFILES: EDGAR ROAD GARAGE JOHN WILL MOTORS PLUS: FEMALES IN FOCUS FF22 The Magazine for Scottish Motor Professionals brought to you by Supported by Incorporating BACK TO THE FUTURE Celebrating 40 years of Scotsure Warranty
Why use SMTA QMS? Currently we carry out over 800 QMS surveys per annum! Participation in the QMS programme and adhering to its standards should also substantially reduce the likelihood for DVSA to consider taking disciplinary action against a Vehicle Testing Station. However, if an incident necessitating this was to occur, then evidence of measures taken by Authorised Examiners to apply standards that exceed DVSA’s minimum standards would be taken into consideration and could lead to a reduction in the severity of any sanction imposed. SMTA members also benefit from free representation and appeals assistance, others will charge you additional costs for this service. MAINTAIN AE STANDARDS CERTIFICATE PROVIDED COMPETITIVE PRICING OVER 800 QMS’ PER ANNUM EXCEEDS DVSA STANDARDS OUR PROVENARESERVICESMANAGEMENTQUALITYMOTINDUSTRY Ask about our QMS service today! E: david.innes@smta.co.uk T: 0778 9264 228 A COMPREHENSIVE SUPPORT PACKAGE FOR OWNERS & MANAGERS OF MOT TESTING STATIONS 1. In-depth examination of all aspects of the MOT scheme 2. Structured to suit individual business needs 3. Assist Authorised Examiners to maintain DVSA standards 4. QMS site assessments exceeds minimum requirements as set by DVSA for quality control 5. Protect your income for less than the price of one MOT per month
If you would like to take advantage of advertising in Auto Insight which reaches all SMTA members and beyond to approximately 5,000 sites across Scotland, or have an article you would like to discuss for publication contact: Wendy Hennessy Email: wendy.hennessy@smta.co.uk
For details of all up and coming SMTA events please contact: Karen Thompson, Events & Media Manager Tel: 0131 331 5510 or Email: karen.thompson@smta.co.uk
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Scottish Motor Trade Association Ltd., Palmerston House, 10 The Loan, South Queensferry EH30 9NS SMTA Ltd Tel: 0131 331 5510 | Scotsure MBI Ltd Tel: 0131 331 5512
Elsewhere in this edition we review two excellent dealer members Edgar Road Garage and John Will Motors, I am always interested to read about our membership and how they run their particular business model, if you feel you would like to be featured please get in touch, it’s completely free and relatively painless!
SMTA is proud to support: Sandy Burgess FIMI Chief Executive, sandy.burgess@smta.co.ukSMTA
Welcome to the latest edition of the SMTA’s Auto INSIGHT magazine, what about the stunning image on this editions cover? Scotsure, our wholly owned used vehicle warranty company has turned the big 40! This is a fantastic achievement for the Scottish automotive sector having a “home grown” provider in such a volatile market that can proudly claim to have heritage beyond many of our competitors, and we continue to strive to meet the demands of today’s marketplace.
Our second Females in Focus event took place in Glasgow on the 19th of August and whilst I was not present due to commitments elsewhere, I understand that the event was thoroughly enjoyed by all who attended. Our sincere thanks to the guest panel and of course the winner of this year’s ‘Nan Lindsay Award’, Catherine Kelly of Marsh AsCommercial.normalthere is plenty going on within our sector, new car supply continues to cause problems and although used has tailed off somewhat there is still a healthy demand for good stock, especially at the wholesale level, we have been involved in discussions with the DVLA in Bristol on various issues that effect all our testing stations and of course the extreme skills shortage is having a dramatic impact on the cost base for all. As is normal if you have a particular issue you wish to discuss or debate please get in touch. www.smta.co.uk
SCOTSURE 40 YEARS IN BUSINESS We are delighted to celebrate 40 years of Scotsure warranties FEMALES IN FOCUS 2022 Coverage of our ladies’ lunch held in Glasgow Grand Central Hotel MEMBER PROFILE Edgar Road Garage, Elgin MIND THE GAP A fresh approach to recruiting talent LONG COVID Is long covid a disability MEMBER PROFILE John Will Motors, Dunfermline TECH INSIGHT OPUS IVS highlight common faults DVSA MOT FRAUD A risk to road safety 8 10 14 22 26 34 40 42
WELCOME...
CONTENTS
Although we can always find reasons to be negative, we know there are green shoots of recovery; increasing numbers of new and used vehicles will return to the market, the unknowns surrounding the agency strategy will become clearer, and we will adapt and evolve to the electrification of our transport network. However, as the industry looks to the future, one thing for sure is that it won’t be the same industry we left behind before the pandemic. Until then, there remains very real and complex challenges to navigate. The production of new vehicles, while improving for some manufacturers, is still a long way off from where it needs to be. As a result, the industry is 31 million vehicles short of where it would typically be over the last two years. This is causing a myriad of tests for manufacturers and retailers to overcome.
SHIFTING PULLSTRATEGIESMANUFACTURER–APUSHORMARKET?
4 WWW.SMTA.CO.UK by Philip Nothard Insight & Strategy Director, Cox AutomotiveINSIGHTMARKET
HEADWINDSUNPRECEDENTEDINRESILIENCESHOWSINDUSTRYFACEOF
Whether in response to the changing post-pandemic landscape or as a consequence of the current headwinds facing the sector, it’s undeniable that manufacturers are pivoting long-maintained strategies to best capitalise on and drive new Theopportunities.directionof change isn’t the same for all businesses. Some are focusing on more profitable premium models, while others are concentrating purely on volume. We’re also seeing many increase their electrification efforts to capitalise on growing EV demand.
Philip Nothard, Insight & Strategy Director for Cox Automotive, discusses how the automotive industry is adapting to ongoing supply and economic challenges and reveals Cox Automotive’s revised new and used forecasts.
In a period where the only certainty is uncertainty and a market full of known unknowns, you could write a book about the headwinds the industry has faced just this year alone. But whether it’s navigating the shortage of vehicles, the rise of EVs, or, more recently, the cost-of-living crisis, the automotive industry has repeatedly proven its resilience. Moreover, some of these challenges have led to new opportunities for automotive businesses, particularly for vehicle retailers, led to increased profitability.
Regardless of the types of vehicles manufacturers choose to produce, there remains a big question around the future of the new vehicle market: will it be push or pull? Will we return to a high-volume market with lots of pre-reg and tactical activity, heavy defleet programmes and unattainable targets, or will we remain demand driven as we are today?
Forecast5ForecastActualyearaveragerange500,000400,000300,000200,000100,0000
Jul-2021 Aug-2021 Sep-2021 Oct-2021 Nov-2021 Dec-2021 Jan-2022
registrationscarNew Q3 2022/Q4 2022
Cox Automotive has adjusted its new car forecasts for 2022, with the latest projections published in the new issue of AutoFocus. Our baseline scenario sees Q3 2022 end on year-on-year.-0.5%registrations,endnowwhileyear-on-year,reductionregistrations,387,217aof-2.3%Q42022ispredictedtoon329,055adecreaseIn
The top five European markets registered 6.5 million fewer vehicles in 2020 and 2021 compared to the previous two years. And indications are a further 1.1 million were lost in the first quarter of this year alone. Today’s new vehicles are tomorrow’s used, so 500,000400,000300,000200,000100,0000
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The reality, in my opinion, is more nuanced. Likely somewhere in the middle. As ever, one size does not fit all, and while some businesses will return to what they know, others will remain demand-driven with a focus on profitability.
Despite these pressures, order banks remain full for most brands. Even as demand weakens, manufacturers have enough of a backlog to keep production lines busy well into 2023. We anticipate supply will improve in time, albeit not at the rate initially predicted at the start of this year. Admirably, many manufacturers are successfully finding solutions to their supply chain challenges, not just in sourcing semiconductors but also other scarce materials, overcoming global logistical hurdles, and addressing rising costs.
Jul-2022 Aug-2022 Sep-2022 Oct-2022 Nov-2022 Dec-2022 Jan-2023
ARE USED CAR VALUES IN DECLINE?
Q3 2021/Q4 2021
addition, Cox Automotive expects the baseline scenario for the full year to end on 1.52 million registrations, a -7.8% decrease year-on-year, and a -8.0% downgrade on our previous forecast.
registrationscarNew
Financials from the sector at both the manufacturer and retailer levels indicate how profitable the demanddriven market has been for the last two years. Still, some commentators believe that the industry won’t learn, and as soon as supply improves, we will return to old ways.
We’ve also seen factory shutdowns for some manufacturers, such as Ford’s recent announcement to end car production at a plant in Germany; however, we aren’t likely to see much more of this as it’s much more expensive to shut down a factory than it is to open a new one. Therefore, in a market where output is likely to be reduced for the foreseeable future, we are beginning to see further collaborations between different manufacturers to maximise efficiencies and production.
But the outcome isn’t uniform while there are green shoots of recovery in supply, particularly for specific makes and models. For many, challenges will remain well into 2023 and likely Asbeyond.aresult,
The used car market has been grappling with a shortage of vehicles for a long time and coupled with healthy demand as a consequence of constrained new car production, and prices have been driven to record levels. But while the industry has become accustomed to fewer vehicles and higher competition, it could be in for a shock as the full extent of the global new vehicle shortfall becomes apparent in the coming months and years.
NEW CAR FORECASTREGISTRATIONS
it stands to reason that as we move forward, we’ll begin to see further pressures as the impacts of this shortfall become evident.
The weakening in headline values we’ve seen in the second quarter of this year shows signs of stabilising. Retailers face stiff competition for product from new competitors who have adjusted their stock profile during the pandemic – daily rental companies who have turned to the used market to compensate for the lack of new vehicles joining their inventories. This will help to maintain prices at their current strong level in the short to medium term; however, a downwards trajectory is inevitable and will become more pronounced as new vehicle volumes return. All this being said, we don’t anticipate the values for the majority of subsectors to return to pre-pandemic levels for several years, if at all. So, while current pricing conditions remain and stock supply remains low for many manufacturers, it’s more important than ever for retailers to have a clear understanding of the dynamics of supply at a model and derivative level.
Q3 2021/Q4 2021
As ever, retailers have adapted well to the circumstances presented to them, and most have seen remarkable profits during this period on the back of increased margins, full retail prices for new, minimum discounts and a lack of targets – a dynamic the industry hasn’t had for a long time.
Jul-2021 Aug-2021 Sep-2021 Oct-2021 Nov-2021 Dec-2021 Jan-2022
Forecast5ForecastActualyearaveragerange500,000400,000300,000200,000100,0000
At Cox Automotive, we are firm believers that businesses must be well informed of the market dynamics in order to make the best decisions for the future. That’s why we’re committed to bringing you the insight you need to make better business decisions through the likes of our annual Insight Report and our quarterly AutoFocus. To keep up to date with the latest Cox Automotive insight, visit: www.coxautoinc.eu/fuel 500,000400,000300,000200,000100,0000
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While the headwinds facing the new and used markets are many, the industry has proven resilience time and time again over the years and will continue to do so.
MORE INSIGHT FROM COX AUTOMOTIVE
USED CAR TRANSACTIONS FORECAST Due to a combination of the headwinds mentioned previously, Cox Automotive has also adjusted its used car market forecasts for 2022, as first seen in the latest edition of AutoFocus. As a result, our baseline scenario sees Q3 2022 end on 1.89 million used car transactions, a reduction of -7.3% year-on-year, while Q4 2022 is now predicted to end on 1.63 million transactions, a -0.4% decrease year-on-year. In addition, Cox Automotive expects the baseline scenario for the full year to end on 7.05 million transactions, a -6.4% decrease year-on-year, and a -4.8% downgrade on our previous forecast.
Q3
registrationscarNew 2022/Q4 2022
The pressure is being felt most keenly in the zero to six and sub-12 monthmarket. But as time goes on, we will begin to see this affecting other age segments starting with the one to the three-year sector over the next 24 months. But the effect of shortages will inevitably trickle down to the late three-year and eventually to the three to five-year market.
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registrationscarNew
The used car market is also contending with pressures outside of supply. There are signs that the high levels of demand levels the industry has enjoyed for years is starting to Thedwindle.current economic factors are likely to last for at least the next 12 months, and with consumer confidence in decline, we are likely to see a reduction in the number of units sold this year. These factors combined are causing a realignment in used vehicle values, and prices in wholesale and retail markets are softening. We’ve been warning the significant rise in used vehicle values was unsustainable, and it finally looks like the end is in sight. But while prices may be easing, the lack of vehicles entering the market means they aren’t falling off a cliff. Rather we’re seeing prices plateau, particularly for sub-one-year and oneto-two-year cars, as indicated in our chart below.
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Scotsure was formed in 1982 as a wholly owned subsidiary of the Scottish Motor Trade Association, to provide a warranty service to garages selling new and used vehicles.
Our warranties are the vital back up that can quickly get your customers back on the road and claims are dealt with quickly, efficiently and perhaps most importantly of all, fairly. In addition, we have a number of bolt-on products that can assist the dealer to maximise their sales opportunity whilst offering genuine value for money options to their customer. Contact us on 0131 331 5512 for more information!
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The experienced team at Scotsure are dedicated to working with our dealer partners to provide expert assistance guidance and support for all warranty requirements. We provide a full suite of promotional branded sales support and marketing material to ensure that our dealers can offer their clients clear and concise advice and guidance regarding the Scotsure warranty product.
In 2014 our underwriting was now administered by MICL Amtrust to strengthen and expand our portfolio and to this day MICL (Car Care Plan) continue to underwrite all Scotsure warranties. Throughout this 40-year period of continual development Scotsure has never forgotten its roots and has always specialised in the used car warranty market. This concept continues to underpin our success today.
In mid-1997, Scotsure formed an alliance with Car Care Plan to provide the sales and marketing support for the Scotsure business throughout Scotland. This gave both companies, working together, a platform to develop the business. In March 2005 Scotsure and CCP amicably agreed to terminate the existing agreement from October 2005 and Scotsure employed its own sales and marketing force in Scotland once again. In 2003, SMTA and Scotsure moved offices to South Queensferry, on the outskirts of Edinburgh and as a result of the business expansion and a partnership with Cardif Pinnacle who then took on our underwriting from April 2009.
From 1982-1991, Scotsure operated successfully with all administration and sales activity undertaken from the SMTA headquarters in Edinburgh with General Accident underwriting the business.
Operating out of the SMTA offices in South Queensferry, Scotsure provides a full warranty administration and claims handling service to over 9,500 vehicle owners per annum.
BUSINESS40CELEBRATESSCOTSUREYEARSIN
The next step for Scotsure was to underwrite all policies itself as an insurance company, to ensure that any profit generated was retained by SMTA/Scotsure and reinvested to maintain and promote the motor industry in Scotland. In March 1991, Scotsure Insurance Company Ltd, received approval from the Department of Trade and Industry to carry out class 16 (Mechanical Breakdown) insurance activities. The nine-year experience of the former company in controlling and handling claims was a necessary and valuable first step.
LOOKING BACK AT 40 YEARS OF SCOTSURE 1982 1988 1992 1998 2002
“We have been using Scotsure warranty for nearly 10 years. We use them due to the level of cover provided, and ease of carrying out a claim. If something that is mentioned as covered on the warranty fails, then the customer is covered. We have experienced many of the other warranty providers and how every one of them tries everything to not cover a claim. We will stick with Scotsure for years to come, nobody else in our experience, does what they do.”
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Scotsure user based in West Lothian 2015 –Present
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“Having been in the motor trade for over 34 years I have dealt with many warranty companies, some of which unfortunately haven’t provided the best experiences. I can honestly say that dealing with Scotsure during the last couple of years has restored my faith in used vehicle warranty companies. Product prices represent excellent value for money as the cover available is wide ranging combined with a claims process that is straight forward when required. I would not hesitate in recommending Scotsure Warranties to both my retail customers and motor trade associates alike. Anyone looking for a cost effective reliable and efficient warranty company need look no further. “ Scotsure user based in Duns
The SMTA is passionate about highlighting the careers available in the motor trade, help to address the imbalances and attract new talent in all areas of the motor trade. The motor trade is a very diverse industry, and we need to seriously look at how we market our opportunities available to get many more females interested in a career in this industry.
On Friday 19th August 2022, SMTA held it’s second ‘Females in Focus’ lunch-time event which was held at the stunning Glasgow Grand Central Hotel.
The event was a great success, and we are so grateful to our panel and would like to say a huge thank you to; Louise Aitken-Walker MBE, World Rally Champion, Recipient of the Segrave Trophy, Cat Treanor, Account Manager at Electude, Cat is very passionate about encouraging diversity in the automotive industry and regularly presents at industry events worldwide to showcase the importance of equality in the trade and Tori-Leigh Adams a fully qualified Vehicle Technician trying to make a difference in the Scottish motor industry (you can read more about Tori-Leigh on page 22 in our ‘Mind the Gap’ feature). It was truly a pleasure to listen to these amazing women and hear their stories of success and achievements in the motor trade. We also awarded our second ‘Nan Lindsay Award’ to Catherine Kelly of Senior Vice President Client Service Leader at Marsh Commercial who started her career in 1985 with Mercantile Credit as an Account Manager responsible for a portfolio of motor dealers and went on to lead a successful sales team sharing some of her knowledge and expertise to others and enjoying future success within the Finance motor industry. Now with Marsh Commercial who is a global insurance broker, different industry but very similar and Catherine believes that whilst the product is different it is still about the clients, the service and the right attitude! Sadly, Catherine couldn’t be there in person to accept her award so we will be presenting it to her at our upcoming Annual Dinner on 27th October at the Hilton Glasgow.
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INFEMALESFOCUS
2022
11WWW.SMTA.CO.UK Headline Sponsor Drinks Reception Sponsor Supporting Sponsors Events like these can’t take place without support from our sponsors and we’d like to thank Central Car Auctions for their generosity as headline sponsors, Electude as drinks reception sponsors and our supporting sponsors; Motonovo Finance, Dingbro, Lawgistics and Textar – THANK YOU!
12 WWW.SMTA.CO.UK GES WINNERSCOMPETITION Edinburgh-based vehicle performance specialist –Qwiklube were the lucky winner’s last issue’s prize of an Ozone Purifer (worth several hundreds of pounds). Pictured above: Qwiklube Centre Manager – Colin May on the right and Ryan Dolan on the left. Inset is Colin receiving the OZONE PURIFIER from Neil Farmer LAMLASH GARAGE Park Terrace, Lamlash, Isle of Arran, KA27 Opportunity to acquire a successful established business on the Isle of Arran Fully equipped Motor Garage, MOT Station & Office space Strong and stable customer base Established systems, processes & suppliers Consistent and strong financial performance Opportunity for further growth BUSINESS FOR SALE Enquiries to: ben@thomsonconstruction.co.uk | 01770 600 242 For Sale Advert - 26 x 16cm - Lamlash Garage.indd 1 2022/07/19 13:44:13 Enquiries to: ben@thomsonconstruction.co.uk 01770 600 242 LAMLASHBUSINESSGARAGEFORSALE ● Oppor tunity to acquire a successful established business on the Isle of Arran ● Fully equipped Motor garage, Mot Station and Office space ● Strong and stable customer base ● Established systems, process and suppliers ● Consistent and strong financial per formance ● Oppor tunity for further growth
TRADING cotti otorTrade Association www.easityre.com easityre Dundee Smeaton Road West Gourdie Industrial Estate 0800Freephone:DD2Dundee4UT2800114 Delivering tyres to the Scottish Motor Trade If you are in the motor trade why not use the easityre option. Freephone 0800 085 5515 Glenrothes or 0800 2800 114 Dundee Easityre is an independent tyre company, selling and distributing tyres to the Motor Trade. We operate a fleet of vans making regular deliveries throughout Scotland. Operating from two depots, one in Glenrothes e and the other in Dundee Tayside. We stock ange of competitively priced car, van and 4x4 tyres, ranging from economy brands through a whole suit to premium brand manu easityre Glenrothes 2-3 Blackwood Road Eastfield Industrial Estate 0800Freephone:FifeGlenrothesKY74NP0855515 If you are in the MotorTrade Why not use the easityreoption? PARTNERS cottish Motor Trade Fife and the other in Dundee Tayside We stock a full r car, van r rom e of mid to facturers. t easityuseretion?
JW & BL Being our own bosses, making the decisions for ourselves and not having to answer to anyone else. Seeing the difference from when we took over the workshop to how it looks now as an up and running garage especially since we have carried out the majority of the work ourselves and seeing our customers disbelief in how good it looks.
JW & BL Our receptionist, she is our front of house dealing with the customers, pricing and ordering etc, as one thing we noticed at out last garage was that running the office, workshop and carrying out the work just wasn’t efficient. Having a receptionist allows ourselves to fully focus on the work required and means customers are kept up to date.
SMTA What’s been the highlight of your business so far?
SMTA How did you come to start up? Jamie I ran the workshop in my previous garage for 8 years so had the experience in running a garage. I had always wanted my own garage and when Blair came to work at the garage, we had made a joke about starting our own garage and a year later that joke is now 8 months into being reality. Blair This had always been something I thought about since I started my apprentiship and since I was doing the majority of the things at my last Garage such as pricing, invoices etc we decided it was time to try for ourselves.
SMTA How has the business grown since then?
14 WWW.SMTA.CO.UK MEMBER PROFILE Edgar Road Garage
EDGAR GARAGEROAD
SMTA What’s the one thing your business couldn’t function without?
SMTA Can you run me through a typical day? JW & BL There isn’t a typical day in a garage, every day is different, and you never know what you are coming into.
JW & BL Having no one to answer to, this allows more flexibility for family life since we both have young children. Knowing we SMTA talks to owners Jamie Wiseman and Blair Leslie about starting up their new business venture; Elgin-based Edgar Road Garage.
JW & BL We have had a lot of new customers coming in through recommendations, as well as loyal customers from previous jobs. We have also been lucky enough to secure a few major contracts with other local companies.
SMTA What’s the best thing about working for yourself?
JW & BL Hopef ully a successful business that is thriving in the workshop and used car sales allowing us to employ staff creating jobs in the local community.
SMTA And the hardest par t?
15WWW.SMTA.CO.UK are building a future for ourselves and hopefully generations to come.
SMTA If you could go back and change one thing what would it be?
JW & BL Unfortunately, we haven’t been able to start selling used cars yet as we have focused on getting the workshop up and running however the biggest challenge will be making sure you are buying/ selling good quality used cars to maintain a good reputation.
SMTA Where will your business be in five years’ time?
JW & BL That good honest work and good communication goes a long way with customers, we ensure to stick to these ethics at all times.
SMTA What do you wish you’d known when you first started out?
JW & BL It helps show us as a reputable and trustworthy garage with having the official signage that is a recognisable association to customers. SMTA visit every so often which builds a good relationship and are always available with any questions we may have. Being a member also allows us to access a wide variety of companies with ease and fantastic discounts.
SMTA What is the biggest challenge in used cars?
SMTA What drives you?
JW & BL To become a successful local business and provide a good life for our families.
JW & BL Mostly social media as this is the easiest way to reach customers, it is a great platform to advertise any deals as well provide a platform for potential customers to contact you directly. We have also handed out flyers to reach potential new customers as we offered a discount if the flyer was used, and we also attended a local car show to help get our name out there and reach potential new customers.
JW & BL How hard the first few months really are, between unreliable suppliers and the unexpected expenses.
SMTA What form does your marketing take?
SMTA What’s the most important thing you’ve learned in your career, and how have you made use of it?
JW & BL Ramp supplier, unfortunately we have had a few issues to say the least which are still on-going. The rep caused a lot of hassle meaning our workshop wasn’t completely fitted until 3 months after the deadline. We are also still going through the MOT application due to the issues which in hindsight we should have taken a more proactive role in this. SMTA How does your SMTA / Scotsure membership help?
SMTA How do you maintain customer levels?
JW & BL P roviding customers with honest information and providing the best price possible, we aim to be as helpful as we can and keep customers informed as customer satisfaction is our main priority.
JW & BL The stress of running a business, work doesn’t stop when you go home anymore. Another hard part is having to tell customer’s bad news about their car.
Supporting SponsorsDrinks Reception sponsor SMTA ANNUAL DINNER & AWARDS 2022 Headline Sponsor 27TH OCTOBER 2022 GLASGOW HILTON HOTEL STREETWILLIAM GLASGOWHILTON 1 William Street, Glasgow G3 8HT THURSDAY 27TH OCTOBER 2022 BOOKING TICKETS Table of 8 – £999 plus VAT Individual Tickets – £130 plus VAT For further details and to book please contact Karen Thompson on: 07922 karen.thompson@smta.co.uk079889 SPONSORSHIP For all sponsorship opportunities please contact Wendy Hennessy on: 07974 wendy.hennessy@smta.co.uk380140 Our guest speaker is none other than the incredible Ann Daniels . A record-breaking polar explorer and a renowned international speaker, Ann Daniels is the first woman in history, along with expedition teammate Caroline Hamilton, to reach the North and South Poles as part of all women teams. An amazing £9,000 was raised at last year’s event and was split between our three charity partners: Beatson Cancer Charity, CHAS and Poppy Scotland. The photo shows our headline sponsor ‘Central Car Auctions’ Mary-Anne McNaughton and Jason Miller with SMTA’s Karen Thompson. £9,000 RAISED AT LAST YEAR’S ANNUAL DINNER! We hope we can match this amount again at this year’s Annual Dinner!
SELL PART-EXCHANGEYOUR & OVERAGE STOCK THE EASY WAY WITH ADESA UPSTREAM! Turn cars into cash quicker... List stock for sale online while it remains on your forecourt. Sell UPSTREAM in less time than it takes your current provider to collect your stock! ADESA UK is a subsidiary of KAR Global NO FEES.AUCTIONNORISK REDUCED DAYS TO SELL FULLY SERVICEMANAGED Buying or selling used stock? Contact us to find out more: ADESA Scotland - 07801 383804 / 07826 527510 ADESA UK - 0344 2255 477 www.adesa.co.uk
Although we’re still in a turbulent market, the good news is the rate increases in all major coverage areas are beginning to decelerate. Insurance pricing in the first quarter of 2022 in the UK increased at a lower rate of 20%, compared to 22% in the fourth quarter of 2021.
Electric vehicles continue to impact auto insurance for transporters because their repair value is approximately 25% higher than their conventional counterparts.4
When it comes to HGV fleets, insurers are streamlining their appetite. There’s a reduction in choice for some consumers, depending on the type of business activity, i.e. hazardous goods. Business owners, therefore, need to work with their brokers to maximise the attractiveness of their risk profile to ensure market options are available.
THE UK INSURANCE MARKET
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STEERING YOUR INSURANCE RENEWAL IN THE RIGHT DIRECTION
4. Keep your renewal in mind
Changes to your business operations throughout the year can impact your insurance, so bear this in mind when considering new contracts, taking on agency drivers or accepting any work that may be regarded as higher risk. Assessing the impact on your insurability when making decisions ensures any new risks can be alleviated as early as possible.
However, by taking the right steps and working with the right broker, business owners can find value from insurance programmes at renewal.
The increased cost of living is hitting everyone. But business owners have been hit especially hard, with a rise in the price of fuel and raw materials, to name a few, seriously impacting the day-to-day costs of running their businesses—particularly those in the transportation sector. Diesel and petrol costs have reached record highs, and HGV driver wages continue to rise — the average salary for a HGV driver is 8% higher than the UK’s national average salary. These factors are adding pressure on historically thin profit margins for operators.
Your broker should advise you on market conditions, possible hurdles and a proposed plan of action ahead of your renewal. But you must take time to discuss your risk management processes and strategic plans over the next two to five years. This will help ensure your presentation to market covers your business’s risk profile and potential.
Work closely with your broker to manage your risks and plan your renewal in good time to maximise its efficiency.
2. https://logistics.org.uk/logistics-magazine-portal/logistics-magazine-features-listing/auto-restrict-folder/24-02-22/hgvdriver-pay-has-surged-by-12-logistics-uk-s-ski 3. https://uk.jobted.com/salary/hgv-driver 4. marsh.com/uk/services/international-placement-services/insights/uk-gimi-q1-2022.html Brexit, a pandemic, the war in Europe and now the rising costs of doing business. There’s no denying we’re living in challenging times.
A claims reserve is money set aside for a claim that has been reported but not settled; any insurers looking to underwrite your risk will pay close attention to this.
In facing these challenges, businesses are naturally looking to reduce their costs wherever possible. Commercial insurance programmes can be seen as a significant, although necessary, expense.
5. Investigate your claims Claims handling continues to be crucial; first notification of loss processes is a key focus area. The common types of claims persist within the transportation industry. Working closely with your broker and adopting relevant training and processes throughout your organisation will be necessary for maximising cost efficiency at renewal, especially as agency workers become more prominent. Even the best risk-mitigated fleets face insurance claims. Notifying your insurer promptly and working with your broker can help resolve these as soon as possible. It is also a great way to reduce the prospect of a large unresolved claims reserve sum.
The insurance market is beginning to show signs of premium increases slowing; however, businesses must ensure they are appealing to the market to see any benefit in real terms.
If you’re considering using another broker, be aware that having multiple brokers approaching the insurance market on your behalf can drive adverse results. You may even find some insurers refusing to quote.
1.RENEWALGiveyourself plenty of time
HOW TO MAXIMISE AN EFFICIENT
Starting your renewal process early allows you time to examine your options and make a decision based on value rather than necessity. It’s worth contacting your broker two to three months before renewal so you can work on a detailed presentation—including risk management provisions—to provide to insurers.
3. Avoid using multiple brokers
2. Talk to your broker
For more information about Marsh Commercial and how we can help your business, please SMTA@marshcommercial.co.ukemailorallon01738494405. This is a marketing communication. Marsh Commercial is a trading name of Marsh Ltd. Marsh Ltd is authorised and regulated by the Financial Conduct Authority for General Insurance Distribution and Credit Broking (Firm Reference No. 307511). Copyright © 2021 Marsh Ltd. Registered in England and Wales Number: 1507274, Registered office: 1 Tower Place West, Tower Place, London EC3R 5BU. All rights reserved.
Sources 1. https://www.autoexpress.co.uk/news/93906/uk-petrol-and-diesel-prices-new-records-set-pressure-grows-retailers-cut-prices
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WHY BECOME A TRUSTEE?
It is estimated that almost half of all charities are looking for trustees at any time, so you will be filling a vital role in the voluntary sector. Being a trustee can be very rewarding. As a trustee you have the chance to support and shape the work and strategic direction of a charity, making a significant difference to a cause that matters to Youyou.may choose to get involved with a charity focused on a cause or an issue you are passionate about or because your life has been touched by the work of that voluntary organisation. It is also a great way to get involved in the community or find out more about the not-for-profit sector. Being a trustee also offers the opportunity for professional development, gaining experience of strategy and leadership. It will provide experience of being a non-executive director, such as setting a strategic vision, influencing and negotiation, and managing risk. If you already have expertise in these areas, it can be rewarding to use those skills in a different and potentially challenging context. Trustees often say that being a charity trustee has been one the richest sources of learning in their professional Aslives.atrustee, you are part of a team and will have the opportunity to apply
TIME FOR AN CHANGE?OIL
INSIGHTMARKET
Many SMTA members, as well as providing services and employment opportunities in their local area, are involved in supporting community projects and charities. For some that will include becoming a charity trustee, volunteering their time and expertise to benefit a third sector organisation close to their heart. Perhaps you have recently been approached to become a trustee or are considering getting involved in charitable work at a strategic level? There is no doubt that being a charity trustee is one of the most rewarding ways in which you can contribute to your local community or to a worthwhile cause. This article outlines the role and responsibilities of being a trustee and the key factors to consider before you agree to become a trustee.
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WHAT IS A TRUSTEE AND WHAT DO THEY DO? Trustees ensure the charity has a clear strategy, and that the work and goals of the charity are in line with its vision. A trustee’s role in a charity is to be the ‘guardians of purpose’, ensuring that all decisions put the needs of the beneficiaries first. They safeguard the charity’s assets – both physical assets, including property, and intangible ones, such as its reputation. They make sure these are used well and that the charity is run efficiently and effectively, with a business approach towards funding and resources for the benefit of its Trusteesbeneficiaries.don’t always get involved in the day-to-day running of the charity, but their close involvement ensures that the charity is run with good governance in mind.
The SMTA has a long and proud record of supporting charities. Currently SMTA support Children’s Hospices Across Scotland, Beatson Cancer Charity and Poppy Scotland. All charities, large and small, need the help and support of their trustees to run the charity effectively for the good of their beneficiaries.
by Fiona Haro Partner at Thomson Cooper
Before committing to a trustee role, it is wise to research the charity you want to become involved in. You will be more invested in helping a charity that you have a personal interest in. Find out what time commitment is required of you to ensure that aligns with the time you have available. Perhaps you have a particular skillset that would be invaluable for a specific charity?
The Scottish Charity Regulator (OSCR) is the independent regulator and register for Scottish Charities. Their website - www.oscr.org.uk – provides access to all Scottish charities. Here you can find details of the charity’s operations and their income and Remember,expenditure.anyone can volunteer to be a trustee, regardless of your experience, whether you are in paid employment or not, regardless of your ethnicity, class, gender orientation, sexuality or any other difference. Boards thrive on diversity and rely on this to deliver robust governance and fulfil the charity’s mission.
Fiona Haro is a partner at Thomson Cooper with offices in Dunfermline and Edinburgh. She is head of their not-for-profit department. She manages a team who specialise in the charity and not-for-profit sector from set up through to independent examination and audit. www.thomsoncooper.com
Many of my partners are charity trustees involved in a diverse range of activities. We talk to fellow trustees a lot. They are our friends, our clients and even our colleagues. One thing they all share is a passion for their respective charity. They talk about their work with great pride, happy to support others by using their business skills to make a difference. It helps to build networks, and make friends and connections along the way. Ultimately, being a trustee helps to improve the lives and experiences of others for just a little bit of your time. Be one of the 15%!
WHY DO IT?
21WWW.SMTA.CO.UK your unique skills and knowledge while learning from others. Working closely with a passionate team of people who have different skillsets is often one of the most enjoyable aspects of the role.
WHAT TO CONSIDER?
Autotech Academy provides qualified college leavers paid internships. Collaborating with colleges, Autotech Academy vets and interviews potential interns to find the right internship position, which can vary from 3-12 months depending on the employers criteria. Each intern is equipped with a toolbox (worth over £1,000 which they get to keep if they make the transition to full time employment following an internship) and a uniform. visit Open University’s 2022 Business Barometer
Taking on an intern is also a great way to see the potential in someone. While they will be paid for their time, it’s effectively a trial period over several months, during which their ability, skill set, and work ethic can be evaluated before any decision is made to employ them on a permanent basis. If the internship is managed successfully, a garage or dealer group manager could find themselves with a fully qualified, brand-loyal, trained vehicle technician within months.
MIND THE GAP: CUT THE RECRUITINGASHORTAGE,SKILLSBYTAKINGFRESHAPPROACHTOTALENT For more information
STRIKING THE GENDER BALANCE
22INSIGHTMARKETWWW.SMTA.CO.UK
While this shortage has been exacerbated by a lack of training and investment in apprenticeships, in such a rapidly evolving sector, immediate action is needed to safeguard its survival. This means thinking outside the box and widening the net to recruit a new generation of talent. Worryingly, every year 10,000 newly qualified automotive students reportedly end up finding roles in other industries as they struggle to secure a position within the motor sector - it’s a loss the industry simply can’t Whileafford.armed with the theoretical knowledge, college leavers can lack practical experience to hit the ground running, and this can be a deterrent to time poor employers. But these newly qualified students are low hanging fruit ripe for picking and it is vital that we give them a chance.
Nineteen-year-old Tori-Leigh, who has a lifelong passion for motor racing, comments: “I am conscious that, as a female, there may be some who will think that I am not able to carry out specific tasks that a male might be able to do such as lift heavy loads. But, as with everything in life if you think you can’t carry out a task you find ways to do it. Similar to all the women I know who have joined the industry, we wouldn’t be in it if we didn’t have a passion for the motor sector. We just need to be given a chance.”
Among the scores of newly qualified vehicle technicians currently seeking employment, there are many women looking for their first automotive role too. Time and again women have been overlooked within the industry. This has improved but, while making up half of the UK population, females still only account for around 10% of the automotive workforce. With a widening skills shortage it’s a talent pool which needs to be tapped into. As the number of females opting to take automotive college courses increases, employers need to ensure that they are maximising all recruitment opportunities across both genders, as recent college
There are currently hundreds of newly qualified Level 3 automotive students out there looking for work and offering them an internship is a viable option. An intern is not the same as an apprentice. With apprenticeships, garages have a young person with no qualifications or knowledge who will need weekly day release to attend college, but an intern doesn’t. They can be working independently very quickly and will immediately be an additional pair of hands to manage workloads as they will have already completed their college learning.
leaver, Tori-Leigh Adams, explains: “When I completed my three year Level 3 course, I was the only female, however, in comparison there were five female intakes starting their first year when I left. I really do think this demonstrates how there are no gender divides with our generation, and the industry needs to sit up and take notice of this.
According to reports, Scottish employers are feeling the impact of the skills shortage. * While reflective of all sectors, the automotive industry is certainly feeling the pinch when it comes to a lack of skilled vehicle technicians.
www.autotechacademy.co.uk *
Call Niall Farmer on 07483 827734 or nfarmer@mpdonline.co.ukemailSMTAMEMBERSPREFERREDOFFERSfromGESScotland ARE YOU LOOKING TO BECOME A DVSA APPROVED MOT TEST STATION? Are you looking to upgrade your existing MOT Test Station and install connected equipment? Call Niall Farmer now for an informal chat 07483 827734 A natural addition to any MOT Station is a Wheel Service Package from GES
24 WWW.SMTA.CO.UK TOP MARQUESSELLINGYTD2022 YEAR TO DATE TOP 10 CARS Strathclyde 1,207 Lothian 4.873 Grampian999832Central 733 Tayside 544 Fife 517 Highlands 196 Dumfries & Galloway134Borders Total10,035Scotland REGISTRATIONS BY REGIONFUEL TYPE YEAR TO DATE DieselPetrol 53,6329,151 Electric 7,143 Diesel/Electric 81,866126Summary TOTAL UK CAR MARKET:914,241= 0 5,00010,000 0 2,5005,000 HyundaiPeugeotKiaBMWAudiVolkswagenFordVauxhall 8,887 6,252 ToyotaMercedes 3,3013,5353,6394,6355,3495,5776,1144,615 10.86% 4.03%4.32%4.45%5.64%5.66%6.53%6.81%7.47%7.64% Vauxhall Corsa Ford Puma Mini VxhllPeugeotVWKiaNissanMiniQashqaiSportageGolf208Crossland 4,727 1,2411,2511,3071,3331,4691,5181,8551,8962,183Dacia VauxhallSanderoMokka JULY 2022 Petrol/Electric 11,584 Petrol/LPG 230 LATEST CAR FIGURES Figures courtesy of the SMMT (Scottish Motor Manufacturers and Traders)
WallOHMECharger From £775 EV HOMEMADECHARGINGEASY Wallbox Pulsar Plus Power From £750 TetheredZappi From £900 BEST CHOICE Everybody has different requirements from their charge point. We provide choice from the leading manufacturers with an overview of the functionality. You choose what suits you. EXPERIENCED INSTALLERS We work with the leading installers who are OLEV approved, fully qualified and trained to ensure you have a trouble free installation regardless of your needs. We bring our customers choice and a first class service with no hassle at a price to suit you. evhomechargeinstall.com SMTA MEMBER OFFER £50 CASHBACK FOR EVERY CONVERTED REFERRAL FOR MORE DETAILS CONTACT MIKE WYNN ON 07917 578700
The tribunal decision in this case makes it clear that if long COVID, being a person’s ‘physical or mental impairment’, has a ‘substantial and long-term adverse effect on [the person’s] ability to carry out normal day-to-day activities’ (the legal definition of a disability under the Act), then long COVID could amount to a disability.
This means that employers with employees suffering from long COVID need to be aware that the condition may be a disability for which reasonable adjustments must be made.
This case is the first legal ruling on the issue and makes it clear that employers need to tread very carefully when dealing with employees who say they have long COVID. Also, even though in this case the employer had two specialist reports which suggested that the employee was not likely to be disabled in law, the tribunal still disagreed. Therefore, whilst medical reports are helpful in assessing risk and understanding an individual’s diagnosis and prognosis, they should not be taken as determinative on the question of whether an employee has a disability in law. That is a legal question for the tribunal to answer, and this case shows that tribunals can, and sometimes will, disagree with views expressed by medical professionals. If you have any queries regarding this update, or if you require support or advice on any other employment law matters, please do not hesitate to contact Just Employment Law on 0141 331 5150 or justemploymentlaw.co.ukenquiries@
A recent employment tribunal case has looked at the question of whether long COVID, whilst not currently a condition which automatically constitutes a disability under the Equality Act 2010 (the “Act”), may amount to a disability in law in certain circumstances.
The tribunal considered whether the employee was ‘disabled’ in law and concluded that he was. It took the view that he was not exaggerating his symptoms and that he had post-viral fatigue syndrome caused by COVID-19 which amounted to a physical impairment which had a substantial adverse effect on his ability to carry out normal day-to-day activities and which “could well” last for a period of 12 months (with lasting 12 months or more, or being likely to last 12 months or more, being the threshold for the “long term” requirement in the legal definition of disability).
In the tribunal case, the employee was employed as a caretaker. He tested positive for COVID-19 in November 2020 and he developed severe headaches and fatigue. He could not do household activities, like cooking, ironing and shopping and experienced joint pain, loss of appetite, reduced concentration and difficulties sleeping. Two occupational health reports indicated that he was fit to return to work and was unlikely to be ‘disabled’ for the purpose of the Act, but he continued to be fatigued and did not return to work, even after his sick pay had run out. The employer dismissed him in August 2021 because of ill health and the employee brought disability discrimination claims, among other claims.
26 WWW.SMTA.CO.UK INSIGHTMARKET by Pauline Hughes, Solicitor, Just Employment Law IS LONG COVID A DISABILITY?
Scan the QR code to join our Dealer network and receive a Welcome Hamper* First Response Finance Ltd, 5 Regan Way Chetwynd Business Park, Chilwell, Nottingham, NG9 6RZ. Authorised & Regulated by the Financial Conduct Authority. Registered in England No 03560611. *Subject to the information provided, meeting our onboarding criteria. We could tell you all about how our customers have voted us as the UK’s number one motor finance lender, or that we were voted ‘Sub-prime Finance Provider of the Year’ for seven years by our dealer partners. But we don’t like to blow our own trumpet. Instead, we let our customers do the talking… I have had four cars through these guys. They go out of their way to find the right deal and repayments. I will use these every time! November 2021
The absence of a message from the Defendant saying: “Hold on. We agreed X price.” was inexplicable, if there was an agreement of a lower price as the Defendant now alleged.
When the Defendant’s car was taken to the garage for repair, the engine was in a non-repairable state due to overheating.
The court recently intervened in such circumstances where the Claimant, a qualified mechanic of over 30 years, was compelled to issue proceedings in the County Court when a customer (Defendant) failed to pay his invoice for repair work completed by the Claimant, which was £3500 for a replacement reconditioned engine and associated work.
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INSIGHTMARKET
Theundertaken.judgehad some concerns about the invoice which the Claimant could not account for and stated that the practice of adding an uplift to purchased parts is morally questionable. This involves actively representing on the invoice that an item has been charged at cost when it has not. If this is done, found the judge, a trader crosses the line into actively misleading the customer. The judge deducted £200 from the bill accordingly.
The judge found that in the circumstances where he could not find there was any explicit binding quote, and as there was a dispute over the amount, it was for the court to assess what a reasonable figure was for work
The district judge first considered the issue of the agreement between the parties. There was no written record of what was agreed about price or quotation. The parties’ recollections of the discussions varied. However, the judge concluded that a complete quote of between £1500-£2000 was given for the engine and considered it unrealistic that the job could have been undertaken for a lower sum.
by Polly Davies, Legal Advisor at Lawgistics
The Defendant had failed to have his car serviced for over 18 months and 28,000 Themiles.Claimant advised the Defendant they would install a reconditioned engine and the Defendant agreed to this. The Claimant carried out the work and the Defendant collected the vehicle professing to have only a portion of the sum owed. The Claimant allowed the Defendant to pay £700 of the invoice and take the car on the promise the invoice would be settled in full the following week.
The judge, however, found the invoice total of £3500 was not unreasonable nor excessive and made judgement for the Claimant in the sum claimed and ordered the Defendant to pay the Claimant’s costs.
Section 51 of the Consumer Rights Act 2015 provides that where a contract does not expressly fix a price or other consideration, and the contract does not say how the price is to be fixed, the contract is to be treated as including a term that the consumer must pay a reasonable price for the service.
THE REASONABLEMUSTCONSUMERPAYAPRICE
The Defendant subsequently failed to pay and ignored follow up requests by the Claimant who issued a court claim. When the claim was issued, the Defendant submitted a defence along with a counterclaim that the work was defective and that he did not, therefore, owe the amount claimed.
The parties had exchanged text messages and there was no message from the Defendant expressing surprise or disagreement on receipt of the invoice noting the quantum. There was just a discussion about payment terms upon which, in the view of the judge, the Claimant was unusually generous.
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The small print; no purchase necessary, free to enter draw, no alternative price will be offered, closing date for submission 30th September 2022 – please ensure contact details are on the email – the winner will be notified by email. Prize provided courtesy of Niall Farmer of GES Scotland. Competition entry only open to those businesses in current membership of the SMTA and SMTA staff are excluded. Need help? Please call Niall Farmer of GES Scotland on 07483 827734 SIMPLY EMAIL YOUR ANSWER TO norman.stirling@smta.co.uk COMPETITION TIME!! WIN A KÄRCHER NT 27/1 WET & DRY VACUUM CLEANER WET & DRY VACUUM CLEANER ANSWER THIS QUESTION: WHEN WAS KÄRCHER FOUNDED? NT 27/1The NT 27/1 is the ideal wet and dry vacuum cleaner for the automotive industry thanks to features such as its pleated cartridge filter and simple accessory storage unit. Built with sturdy metal latches and a robust bumper, this vacuum is highly durable, protecting it from any potential damage. Its compact design means this vacuum is perfect for tight spaces and has easy manoeuvrability. •Ideal for both wet & dry dirt •27 litre container capacity, allowing large quantities of dirt to be collected. •Ergonomically designed carrying handle meaning transportability is convenient •200mbar pressure allows for powerful suction PRODUCT CODE: KAR1.428-509.0 •Ideal for both wet & dry dirt •27 litre container capacity, allowing large quantities of dirt to be •Ergonomicallycollected. designed carrying handle •200mbarconvenienttransportationmeaningispressureallowsforpowerfulsuctionPRODUCTCODE:KAR1.428-509.0
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We have enhanced our business finance capability and the results have flowed through, providing well over £100M of vehicle finance to SMEs over the last year. Nor is the lending linked to a single vehicle; 1400 SMEs financed two or more vehicle purchases.
Despite the challenges of higher energy bills, inflation, and war in Ukraine, 62% of founders were still confident their business would grow in 2022.
1 drawbridge-on-lending.htmlhttps://firstvoice.fsb.org.uk/first-voice/concern-for-small-businesses-as-banks-pull-up-the-32 WWW.SMTA.CO.UK
It appears not all lenders are keen on supplying finance to SMEs. It is a position reflected by the Federation of Small Business (FSB), which reported recently that SME finance applications had plummeted to the lowest level on record1. A situation that saw the FSB’s national chair, Martin McTague, noting that; “Lenders pulling up the drawbridge for small firms will threaten our already faltering economic recovery.”
As owner operators or employers, businesses in the sector are responsible for a significant volume of new and used cars, vans and other vehicle purchases. Many of these will require finance from one source or another. If others are reluctant to meet that need, we are not!
While not immune from the prevailing economic conditions, dealer finance can be very competitive and has the advantage of being ‘secure’, which typically helps acceptance levels. Dealer finance is also quick and easy to set up and frees up other borrowings.
The UK’s SME sector is significant. At the start of 2021, there were 5.5 million small businesses (with 0 to 49 employees); this was 99.2% of total UK businesses. It is a staggering number and points to the opportunity.
The SME market for cars and LCVs is an opportunity for motor retailers and one helped by the availability of finance. The latest Bank of England figures reveal that the annual growth rate of lending to SMEs is at a record low.
The net result is that we see the SME market as a significant opportunity for dealers and one that, as a lender, MotoNovo is keen to support, as I am sure are others in the sector.
In terms of numbers, that equates to 12.9 million people employed in small businesses (with 0 to 49 employees). In the current economic climate, it might be easy to assume SMEs are ‘hunkering down’. However, the feedback from more than 1,000 small early-stage firms with typically 0-5 employees, contributing to the most recent Enterprise Nation Small Business Barometer, told a different story.
SMEs may require additional work to finance, but it has to be worth reaching out to the sector in the current environment. Such businesses are commonly time-poor; if we can all do a little extra legwork and promote the accessibility of finance and support for SMEs, there are opportunities for us all.
SMEs represent an impressive three-fifths of the employment and around half of the turnover in the UK private sector.
HELPING SMES WITH DEALER FINANCE IS A OVERLOOKEDOPPORTUNITYBUSINESSNOTTOBE
However, this lack of lending appetite is not universal. At MotoNovo, we increased lending to SMEs seeking their next car or van by 55% over the last year, with lending volumes to corporate customers increasing YoY by 50% overall. I’m sure we are not alone.
INSIGHTMARKET by Debbie McKay Commercial Director, MotoNovo Finance
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What changes have you The Motor trade has gone through some changes over the years. The customer has a lot of research material at their fingertips and are more clued up nowadays, also there’s a lot more bigger dealers and online groups
SMTA Can you run me through a typical day?
SMTA speaks to Branch Manager, Alastair Aitken of
MEMBER PROFILE John Will Motors
How did your career in the motor trade start?
A.A. I am meant to start at 8.30 am but usually at the garage nearer 8am. I check the workshop diary the check and reply to any emails. Then open all the display cars and put the display flags out for around 9.am ready for the day. Most days I am on the web looking for stock to buy and updating our website. I also check the service department’s workload, arrange any parts that we need and keep in contact with the customers that are booked in for that day.
A.A. Since my return to John Will Motors around 18 months ago, the highlight has been
I started in the Motor trade in 1983 at John Will Motors Rosyth as a car cleaner / driver then shorty moved into car sales, selling New Rover Cars and used cars plus the day to day running of the workshop for around 14
JOHN WILL DUNFERMLINEMOTORS,
SMTA What’s been a highlight of your business so far?
A.A. The one thing that our business couldn’t function without is our customer referrals and we get this by giving our customers a great service and being honest and trustworthy, this is something that’s our number one goal.
SMTA What’s the best thing about working for John Will Motors?
A.A. I wish I knew how much the internet was going to be an influence on the business, not just us a dealer but how much it does for the customer’s ability to quickly research their purchase before coming the dealership. I personally would have learnt more a lot earlier.
A.A. If I could go back and change one thing, it would have been to open my own garage up but working at John Will Motors it sometimes feels like my own garage.
SMTA What’s the most important thing you’ve learned in your career, and how have you made use of it?
A.A. The SMTA is the best backing any dealer could wish for, especially with the offer of the Scotsure Warranty. The Scotsure Warranty offers a fantastic affordable cover and peace of mind to your customers and with the SMTA respected branding, you couldn’t do any better.
SMTA If you could go back and change one thing what would it be?
SMTA What’s the one thing the business couldn’t be without?
SMTA What is the biggest challenge in used cars?
A.A. Keeping up to date, the market changes very quickly and what’s the best seller this month may not be next month, so you must keep an eye on the ups/downs of the market and acting promptly within our budget.
A.A. The most important thing I have learnt in my career is trust, get the customers trust and the rest will fall into place.
promoting our used car warranty by displaying flags, outside notice boards even logos on my shirts. This makes the customer aware how important we take the Scotsure Warranty that we offer them.
A.A. I would like to think that we will have made the changes required to able us to still offer good affordable used cars.
SMTA What drives you?
SMTA What do you wish you’d known when you first started out?
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A.A. Currently it’s buying the correct stock, so that we can compete competitively with the surrounding dealerships.
A.A. The best thing about working at John Will Motors is as it is a small family run dealership with no head office, we can adapt and change very quickly to any changes that are required also offering a personal touch. SMTA And the hardest par t?
SMTA How do you maintain customer levels? A.A. When I started in the motor trade, my manager told me if you treat customer with respect and be honest, they will come back time and time again plus they will recommend you and your dealership. So, I have always followed this advice— and it works! I have customers that have followed me from garage to garage.
SMTA How does your SMTA / Scotsure membership help?
SMTA Where will the business be in five years’ time?
SMTA What form does your marketing take?
A.A. Mostly online with our web site via eBay motors and Facebook.
A.A. Customer satisfaction, I also get a buzz from dealing with public and making them happy with their purchase, no matter what price they have paid.
insuranceSpecialist for motor trade businesses This is a marketing communication Marsh Commercial is a trading name of Marsh Ltd. Marsh Ltd is authorised and regulated by the Financial Conduct Authority for General Insurance Distribution and Credit Broking (Firm Reference No. 307511). Copyright © 2022 Marsh Ltd. Registered in England and Wales Number: 1507274, Registered office: 1 Tower Place West, Tower Place, London EC3R 5BU. All rights reserved. A business of Marsh McLennan In Scotland, we’re leaders in providing insurance broking, risk management and employee health and benefits. We have offices, throughout Scotland, offering a truly local service to Scottish Motor Trade businesses. We can arrange a policy that includes: •Property damage including customers’ vehicles in your custody and control •Business interruption and book debts •Public, products and employers liability •Road risk cover for loss or damage to any vehicle in connection with your business whilst away from the premises, including courtesy cars •Money, assault and wrongful conversion •MOT licence cover Our exclusive Marsh Commercial product can provide: •Interest free direct debit facility •Retrospective low claims rebate •Protected no claims •Claims preparation costs •Dedicated SMTA point of contact Howden Skimming. Tel: 07392 123686 Email: @marshcommerhowden.skimmingcial.co.uk Contact us today for a quote: 01738smta@marshcommercial.co.uk494405 Plus, for SMTA Members we include access to risk management support.
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It
The drivers have battled 3 times at Knockhill including the 90 minutes C1 Endurance Race in the anti-clockwise layout on June 12th. This proved to be an extremely close battle despite the race length. Finlay Brunton & Ryan Smith came out on top with the first 3 drivers being separated by only a few seconds after 90 minutes of racing. The championship also ventured south of the border to Cadwell Park in Lincolnshire for the away round on July 16th where James Hitchen, Kyle Nisbet and Sam Corson took the top 3 spots in that order in both races. There are only 2 rounds left with 4 races in total, both taking place at Knockhill in the clockwise configuration on 21st of August and the 9th of October. This means there are still 100 points up for grabs and it will be thrilling to see who takes the championship, you can guarantee that the racing will be close throughout the field and as we move into the later part of the year the Knockhill weather can be very unpredictable. Sam Corson has 2 victories so far with Finlay and Ross with one apiece. James Hitchen has taken 2 victories, Thomas Comber has 1 win and although not reaching the top step so far Kyle Nisbet is only 1 point behind 3rd place Ross Dunn on 93 points. The championship is still wide open and the top 3 certainly can’t take their foot off the gas, consistent point finishes and avoiding DNFs could make the difference by the end of the season. If you’d like to follow the action and see who comes out on top in the SMTA Scottish C1 Cup then you can book tickets at knockhill.com or watch the action from home on the Scottish Motor Racing Club facebook page @smrc56 or on the SMRC youtube channel. You can find out more about the Scottish C1 Cup motorthiscanWescottish-c1-cup/www.smrc.co.uk/championships/athopeyouenjoytheactionandsupportourdriversastheybringexciting2022seasonofScottishracingtoaconclusion.
1.STANDINGSSamCorson 120 2. Findlay Brunton 113 3. Ross Dunn 94 38 WWW.SMTA.CO.UK
John Proctor
Article by Glenn Alcock Citroën C1 Photos by Jim Moir SMRC UPDATE 2021 Champion - Ross Dunn
The Scottish C1 Cup is midway through it’s 3rd season and continues to provide close fun racing at a budget price. At the start of the season we predicted that it would be close at the top between the inaugural 2019 season champion Finlay Brunton and 2020 and 2021 champion Ross Dunn, we also said to watch out for Sam Corson – the young charger who was going to give both these champions a run for their money and that is exactly what has happened. As of the 4th of August 2022 the championship is super close at the top.
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SMTA CITROËN C1 CUP ROUND UP
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• The correct distance between marks is 124 – 126 mm.
Timing chain problems, including stretched timing chain, malfunctioning timing chain tensioner and rattling noises from the timing chain housing have been repeatedly reported for the VAG TSI 2.0 liter turbocharged engine family. In some cases, a stretched chain can throw camshaft timing off.
• If timing is off by as much as one whole sprocket tooth, it indicates that the chain jumped timing and may have caused valve / piston interference. Additional testing for internal engine damage is required.
• If strainer is plastic, replace camshaft bearing bracket. Make sure remnants of strainer are removed from oil duct. Remnants can clog up oil duct in camshaft bearing bracket or drift into camshaft bearing. This can damage other components. Check camshaft adjuster for debris and thoroughly clean if necessary. Check camshaft adjuster control valve for debris and if necessary clean thoroughly.
• The distance specification from intake camshaft to the mark on the cam cover is 61 – 64 mm.
ADDITIONAL CONFIRMATION
STRETCHED TIMING CHAIN DIAGNOSIS - VOLKSWAGEN MODELS
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INSIGHTTECH
PROBLEM:
In extreme cases, the chain can break leading to catastrophic engine failure.
• If strainer is metal, reuse camshaft bearing bracket using a new checkvalve.
If the malfunction indicator light (MIL) is illuminated, check for the following fault codes (DTCs) stored in ECM fault memory: P0011, P0016, P0341, P000A, P052A
• Inspect for the oil screen located in the camshaft adjuster bridge. It may have come apart and lodged itself within the camshaft adjuster spool and the intake camshaft adjuster (only serviced with the intake camshaft).
• Measure distance between camshaft timing marks.
• Remove upper timing cover.
• Remove camshaft sprockets and use pressurized oil to test non-return oil check-valve in cylinder head. Apply 0.5 bar pressure and make sure pressure does not drop or leak away within 1 minute.
To confirm the diagnosis in case of a running engine, or to ascertain the cause of problems for an engine that does not run, check mechanical camshaft timing.
If timing is off, the timing chain is stretched and should be replaced. In addition:
If the engine is running rough and the MIL is illuminated, get preliminary diagnosis using a scan tool plugged into the OBD II outlet underneath the dashboard. Monitor the ECM / live data. Use data block (MVB) 91. With the engine at idle, intake camshaft adjustment specified and actual should be within +5 degrees or -5 degrees. Any larger value indicates a timing chain that is dangerously stretched.
Welcome to Tech Insight created with the support of the IVS 360 OEM-Trained Master Technicians at OPUS IVS to whom we are very grateful. Here we highlight some of the more common recent faults that our partners have come across in their workshops and of course provide you with the appropriate fixes. We are always reviewing our content and please feel free to get in touch if you feel that there is something you would like to see in future editions of SMTA AutoINSIGHT.
• Check camshaft bearing journals and camshafts. If scoring can be felt on journals or camshafts, replace bearing bracket and camshaft.
Note 1: Be sure to search for a missing oil screen in camshaft adjuster bridge. See section on Check-valve oil screen Noteproblems.2:Be sure the spool valve piston is level with the retaining clip.
Affected Engines: 2.0 liter turbocharged TSI, TFSI Engine codes CCTA, CBFA, CAEA, CAEB, CDNC
STRETCHED TIMING CHAIN PROBLEMS If timing chain is stretched past 126 mm maximum range, replace timing chain and tensioner. In addition, replace camshaft adjuster bridge, intake camshaft and spool valve adjuster.
• Check non-return check-valve in bearing bracket.
PROVIDED BY
REPAIRS Check-valve oil screen problems If timing specifications (as read using scan tool) exceeds ±5°, but distance measurement between timing marks is correct (124 – 126 mm), check that the oil screen in the camshaft adjuster bridge is still in place. If oil screen has come apart and lodged itself within the camshaft adjuster spool and intake camshaft adjuster: • Remove camshaft bearing bracket.
• If cylinder head check-valve is leaky, remove cylinder head and replace check-valve. In case of torn oil screen:
Affected Models: 2009 – 2015 Volkswagen Jetta, Tiguan, GTI, Passat CC, Beetle, EOS (2008.5 and up)
• Rotate engine until camshaft timing marks on sprockets point up.
POSSIBLE CAUSES
• The valve consists of a tube between the fresh air duct and the turbocharger, with the butterfly valve covering the EGR inlet, in the center bottom of the EGR valve.
• Low pressure EGR valve mechanical integrity
• The cooled gases are then directed through the LP EGR valve, via a butterfly flap.
12. Pressure sensor is bolted to the intake side of the engine looks like a DPF pressure sensor one goes to the cooler pack and the longer pipe goes to cooling unit this measures the pressure either side of the unit.
1. Carr y out a functional check Confirm the customer ’s complaint.
M3 | MSS60 Gears Worn Gears CircuitWornDefective
1.REPAIR Using a HP smoke detector visually inspect the air intake system for leaks. And repair any that are found.
4. Is the cooler blocked, See #NOTE# blocked LP EGR cooler filter image below. We have seen the filters internally block as per the image below, this would require a new filter set LR126126 cleaning of the EGR/Throttle body and the Low pressure EGR cooler.
1. Worn Plastic Gears 2. Dr y, loose or burnt soldered joints
1. Af ter the reconfigurerepair,existing PCM with latest software with a dealer tool. Once completed check below:
7. Black soot around the tail pipe.
8. Loosen the SCR assembly, look up into the cooler and check for excessive levels of soot. 9. DPF/SCR canister cracked internally.
Affected Vehicles – BMW – E9X series (2006 - 2012) |
5. Low pressure EGR pipe on the nearside is it blocked. 6. Look for signs of sooting around the clamp.
LOW PRESSURE EGR
• The LP system takes exhaust gases from the exit of the Diesel Particulate Filter (DPF) system, and mixes it with the fresh air intake into the turbocharger.
LIGHT ON, ROUGH RUNNING OR WILL NOT REV UP
• Connector is disconnected, connector pin is backed out, connector pin corrosion
2L DIESEL INGENIUM ENGINE WITH LOW PRESSURE & AN EXHAUST VALVE COOLER BLOCKAGE BMW ENGINE MANAGEMENT
• Excessive undetected soot in the DPF
• Low pressure EGR differential pressure sensor mechanical integrity
• The butter fly valve opens into the fresh air stream, promoting both thorough mixing before the gas enters the turbocharger, and also provides ‘suction’ to drive the LP EGR gas through the system.
2. Carr y out a quick test
Vehicle Types: Land Rover / Jaguars (and any vehicle fitted with the 2.0 diesel ingenium engine. Model types: Range Rover Evoque, Discovery Sport, Land Rover Defender, Range Rover, Range Rover Sport Vehicle Fault: Vehicle in restricted performance and DTC P049B-00 Fault codes: P049B-00 EGR “B” Flow Insufficient Detected - No sub type information. Other low pressure EGR related DTCs.
• There is a simple mesh filter fitted before the gasses reach the outlet of the cooler that prevents larger particles of soot etc. from entering the turbo charger system. The mesh filter is a non-serviceable component.
• Charged air induction system leak • Low pressure EGR cooler blocked / filter blocked
14. The DPF may also need inspecting for cracks that can draw in air from the outside causing excessive sooting.
TOOLS REQUIRED
6. After the repair you must run the Throttle valve actuator test. The DME will run the motors from min to max positions and will learn the end stops. To do this go in to DME >> Service functions >>Throttle valve group test >> System test Throttle valve actuator.
• Check soot mass in the oil and if too high carry out an oil service, or; • Oil dilution factor 0 Zero good, 10 bad if too high carry out an oil Replacementservice. Kit Where possible visually inspect downstream of the DPF and LPEGR exhaust pipe for soot using a bore scope or visually check with the exhaust separated look for soot.
2. If there are no signs of soot particles this is not the cause of the customers concern 3. Remove low pressure EGR cooler housing lid and visually inspect for soot particles.
• Vehicle is fitted with TWO EGR valves a LP and HP unit. One is DPF side to turbo the other is exhaust manifold to intake manifold.
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1.SYMPTOMS Engine management light on 2. Rough running 3. Will not rev up Various fault codes stored in the DME in relation to throttle body FAULTS • 2B1F Throttle valve sensor, bank 1 Engine - DME • 2B20 Throttle valve sensor, bank 2 Engine - DME • 2B21 Throttle valve actuator predrive check, bank 1 Engine - DME • 2B22 Throttle valve actuator predrive check, bank 2 Engine - DME • 2B23 Idle actuator governor monitoring, bank 1 Engine - DME • 2B25 Throttle valve monitoring, bank 1 Engine - DME • 2B26 Throttle valve monitoring, bank 2 Engine - DME • 2B27 Throttle valves, test of return springs, bank 1 Engine - DME • 2B27 Throttle valves, test of return springs, bank 2 Engine - DME POSSIBLE CAUSES
5. Strip the throttle down and check for wear in the plastic gears and also check for loose, dry or burnt soldered joints on the transistorsstrip the trstrip the throttle down and check for wear in the plastic gears and also check for loose, dry or burnt areas. See Images In The Causes Section. The soldered joints can be cleaned and re-soldered. The plastic gears can be replaced but the replacement parts are not from BMW. Only a replacement throttle motor is available from BMW.
7. The car is fixed when the engine runs correctly and there are no Throttle related faults stored.
• Small electrical tools for stripping the throttle body • Soldering iron and solder • Parts Required • Throttle body
10. JLR process change LP EGR and cooler.
11. Change cooler pressure sensor and SCR/DPF unit.
• The gases are transported from the DPF outlet to the LP EGR cooler via a pipe. The LP cooler has no bypass mode, so only cools.
REPAIR STEPS
3. Check the fault codes stored in the DME 4. If the fault is stored for one bank only i.e. Throttle body pre-drive check Bank 2 (2B22) start by swapping the throttle bodies over from Bank 2 to Bank 1 and viceIfversa.thefault travels to Bank 1 then the cause will be the throttle motor itself. If swapping the Throttles over the fault code did not travel and change sides then the wiring would need to be checked and or repaired between the DME and the Throttle that is stored as faulty. If the wiring checks proved to be OK, then it would indicate a faulty DME but that is a very rare repair.
13. If the cooler also shows signs of being excessively blocked, then the cooler may need replacing as well.
• The LP EGR system is used on EU5 and EU6 market vehicles only.
These cases demonstrate we will not allow qualified testers who we entrust to carry out MOTs to abuse a system designed to keep the public safe for their own personal gain.
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Elsewhere, in Hampshire, Paul Rafferty, of Havant was given a prison sentence of 36 weeks in Worthing Magistrates Court on 28 February 2022 following a DVSA investigation.
WHAT’VE WE FOUND?
WHAT’RE WE DOING ABOUT IT?
We investigated Thornton-Granville of Mitcham, following a complaint about an MOT conducted on a vehicle in a shocking state of disrepair by member of the public.
A MESSAGE OF WARNING
Courtesy of DVSA A RISK TO ROAD SAFETY
He was sentenced to 18 months imprisonment for the charges, suspended for 2 years on the condition he completes 240 hours unpaid work within that period and ordered to pay a contribution towards prosecution costs of £5,000.
DVSA monitors the industry closely and acts on poor and fraudulent practice. This is through both proactive work and in response to reports from the public and official bodies.
Testament to the success of the test is how few mechanical issues lead to road accidents. Only 2% of road incidents are due to mechanical failings and we are proud of this proven tool that helps to keep Britain’s roads However,safe.this hasn’t stopped people trying to cheat the system.
We are fortunate to have so many compliant, trustworthy, and honest garages who deliver the MOT safely. We want to ensure they are not unfairly disadvantaged by the greed and criminality of the dangerous few individuals seeking to dupe the Thesystem.MOTtest is designed to keep you and others safe. Don’t risk road safety, don’t cheat the system, choose a valid MOT..
DVSA UPDATE
MOT FRAUD,
All the MOTs of the 47 potentially dangerous vehicles were cancelled. The owners were warned that their vehicles must pass a legitimate MOT before they could return to the road. Rafferty was also given the full 5-year term ban from MOT testing.
MOTs are carried out by 60,000 privately employed MOT testers carrying out tests in around 23,000 testing stations in Great Britain. DVSA is responsible for regulating MOTs and their providers to ensure they are conducted to the correct standards.
Increasingly, we are discovering cases where vehicles aren’t even entering a garage but still being issued pass certificates. This is allowing potentially dangerous vehicles to be driving on Britain’s roads.
An inspection of the vehicle revealed 21 faults, including missing brake pads and missing anti-roll bar. Corrosion on the car was so severe that the security of the body to the chassis was reduced by more than 50%, critically endangering the driver in any impact scenario. This led to a DVSA investigation. When presented with DVSA’s evidence the tester admitted and subsequently pleaded guilty to issuing 152 fraudulent MOT pass certificates at City of London Magistrates Court in March.
MOTs are carried out by 60,000 privately employed MOT testers carrying out tests in around 23,000 testing stations in Great Britain. DVSA is responsible for regulating MOTs and their providers to ensure they are conducted to the correct standards. Almost all the 30 million MOTs carried out annually are conducted to the appropriate Forstandard.vehicles 3 or more years old, it is a roadworthiness safety net. While vehicles should be roadworthy all year round, the MOT test helps ensure your vehicle is not going to cause you, or other road users, harm.
138 vehicle MOT certificates issued by Thornton-Granville were cancelled and removed. This meant vehicle owners needed to complete a valid MOT test before their vehicle could return to the road.
The sentence was suspended for 12 months for 47 falsely issued MOT certificates over a 3-month period.
In 2021 to 2022 we saw 1324 total counts of MOT Fraud. 710 of those, were the most serious cases relating to dishonesty and negligence. To put this into perspective, in 2017 to 2018 there were less than half this figure (351). In these most serious cases, we’re able to use the full force of the law. In 2021 to 2022 we prosecuted 20 cases (involving 24 defendants) - a 900% increase from 2018 to This2019.may appear low in comparison to the total counts of fraud, but a number of individual cases may form part of a singular prosecution. It is these individuals we are Wetargeting.canalso ban people from testing. In 2021, we banned a total of 127 Authorised Examiners from running Vehicle Testing Stations, and 288 from the MOT scheme. This included bans for 85 Authorised Examiner and 185 Tester cases relating to the most serious offences including dishonesty, and gross negligence.
Rafferty had been issuing the certificates despite the vehicles never entering the two garages he worked at in Petersfield, between November 2020 and January 2021.
We also wrote advisory letters to the owners of a further 113 vehicles who had received MOT certificates from Rafferty.
The latest technology and intelligencebased targeting allows us to track vehicle movements, meaning we know where vehicles are, and where they’re not. We can then compare this with MOT test data to ensure the right outcome
CASES TO PROVE A POINT
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