No deal Brexit 'not an option' warns SMMT chief

This is the stark message from Mike Hawes, chief executive of the Society of Motor Manufacturers and Traders (SMMT), who believes a Brexit deal must be secured soon to help reverse the decline.

According to SMMT, output in May fell 15.5 per cent with 21,239 fewer units manufactured. The organisation said that manufacturing for domestic buyers fell by -25.9 per cent, while overseas orders were down -12.6 per cent. Exports accounted for 80.9 per cent of all cars, highlighting the need for free and frictionless trade.

“Twelve consecutive months of decline for UK car manufacturing is a serious concern and underlines yet again the importance of securing a Brexit deal quickly,” Hawes said. “The sector is facing multiple seismic challenges simultaneously: technological, environmental and economic. The ongoing political instability and uncertainty over our future overseas trade relationships, most notably with Europe, is not helping and, while the industry’s fundamentals remain strong, a brighter future is only possible if we secure a deal that can help us regain our reputation as an attractive location for automotive investment. No deal is not an option.”