Aftermarket July/August 2023

NEWS Major gains have been secured for the independent garage sector in the new Motor Vehicle Block Exemption Order (MVBEO), which became UK law from 31 May, but sector organisations are cautioning that more work still needs to be done. The MV-BEO, introduced by the Competition and Markets Authority (CMA) replaced the EU-derived Motor Vehicle Block Exemption Regulations (MV-BER). According to IGA Head of Member Services Frank Harvey, the pace of technological change has meant change was essential: “Since the MV-BER was created more than 20 years ago we’ve seen an exponential increase in the amount and complexity of incar technology. This has created a vital need for the independent sector to have the right to access technical data alongside service information, so that they can continue to provide a viable, value-driven choice for consumers. The EU regulations didn’t really reflect this properly and the IGA was pleased to see the efforts made to close off some of those gaps in the new MV-BEO. “Having said that, the IGA feels that the MV-BEO and the associated guidance falls short in a number of areas, especially with regards to issues around the connected car, and the potential that has to steer consumer decision making, in terms of vehicle service and maintenance.” He added: “The IGA will continue to monitor the impact of the MV-BEO and, driven by member feedback, will continue to communicate with the CMA on the effectiveness of the order and its impact on both consumers and independent operators within the automotive sector.” LKQ Euro Car Parts CEO Andy Hamilton commented: “The new MV-BEO regulations have delivered on many of the industry’s key requests. It is more comprehensive - now covering software, training and improved access to data and information alongside parts – and it is now shorter in duration, coming up for review again before the end of the decade. This should allow the framework to be updated to keep pace with the rapidly evolving vehicle market. “This is a real success for the independent aftermarket, where its ability to service modern vehicles was slowly being squeezed by OEMs capitalising on the shortcomings and loopholes of the ageing MV-BER framework and advances in vehicle technology that support new business models.” Andy added: “As vehicles continue their gradual evolution to becoming tech hardware, there remain gaps in the legislative landscape that OEMs will no doubt exploit to restrict access to independents and, by extension, limit consumer choice. This includes cybersecurity where the UK currently has no plans to introduce a standardised certification system, such as the SERMI scheme that is due to come into force in Northern Ireland and the EU this summer. Meanwhile, the threat of damaging MOT reforms is still casting a shadow over the industry’s future.” IAAF Chief Executive and UK AFCAR Chairman Mark Field said: “This is major achievement for the independent automotive aftermarket, and I would look to pay tribute to intense work of the UK AFCAR and its members, Neil Pattemore and our colleagues in FIGIEFA. I’d also like to acknowledge and thank CMA for their detailed understanding of the need to protect consumer choice and their commitment to working with UK AFCAR to ensure compliance of MV-BEO. Months of intense lobbying by members of UK AFCAR has created significant improvements when compared to the European MV-BER and guidelines, in particular clearer definitions to support the way vehicles are diagnosed, repaired and maintained.” According to Mark, the accompanying guidelines make it clear that access to full repair and maintenance information (RMI) and data from vehicle manufacturers has been secured, representing a major improvement on what was possible under the MV-BER: “For parts distributors as well as the workshops who finally fit these parts, software and coding must now also be made available to ensure their ability to complete vehicle repairs. Importantly, the inclusion of the reference to Chapter II of the UK Competition Act introduces the basis for horizontal agreements between vehicle manufacturers and independent operators.” This is not the end though, as Mark observed: “References are also made in the guidelines to the Type Approval requirements for access to RMI, which will also need to be revised to ensure continued effective competition that supports consumer choice and affordable mobility.” www.aftermarketonline.net 4 AFTERMARKET JULY/AUGUST 2023 www.aftermarketonline.net MV-BEO “real success” but “falls short” in some areas

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