May 2020

NEWS 4 AFTERMARKET MAY 2020 www.aftermarketonline.net Garages should stop the practice of discounting MOTs, in order to help recoup revenue being lost as a result of the Coronavirus pandemic, according to the IGA. Stuart James, IGA Chief Executive said: “Independent garages have faced a sudden, drastic decline in business due to the DVSA’s MOT extension and Government instructions to stay at home. “Provision of the MOT service is critical to the safety of UK road users, but many garages feel the need to discount MOTs to remain competitive, leaving them struggling to cover their hourly business costs. The industry cannot afford to continue providing MOT tests as a loss- making service going forward. The time is right for garages to stand united by charging the DVSA’s recommended price of £54.85 for a MOT test. This will help independent garages to remain open, recoup recent losses, and allow them to carry out their vital roles keeping the UK’s vehicles running safely.” The IGA is supporting independent garages through the Coronavirus pandemic with advice and resources, which can be found at IndependentGarageAssociation.co.uk Stop MOT discounting to help in COVID-19 recovery garages urged IMI launches dedicated COVID-19 hub The IMI has created a dedicated COVID-19 online resource hub, where automotive industry professionals can find useful information about the outbreak and its impact that is pertinent to them. Stand-alone sections for IMI members, centres, students and businesses provide input from IMI experts as well as links to other sites for useful information. Topics cover employment and learning issues as well as a focus on wellbeing. The IMI’s close partnership with Ben is also reflected in the hub with access to a variety of resources. “There is a plethora of information being disseminated on anything and everything related to coronavirus, but for many people it’s hard to work out what’s relevant to them and how to take the right steps for their own circumstances,” confirmed Steve Nash, CEO of the IMI. “What we’re doing is distilling all the information and putting it into one place in our dedicated COVID- 19 hub.” Steve Nash added: “It’s difficult to predict how the situation will develop, but our COVID-19 hub will be constantly updated with new information and resources as the situation evolves.” To access the hub, visit: www.theimi.org.uk/landing/ covid-19/ Garages that have shut their doors due to C OVID-19 will be able to access staff pay funding for an additi onal month, following the government’s extension to the furlough deadline. Announcing the extension of the Coronavirus Job Retention Scheme on 17 April, Chancellor Rishi Sunak said the subsidy would now run until the end of June. Through the programme, any business can access a grant to cover 80% of a worker’s salary up to a maximum of £2,500 a month. The scheme was originally set to run until 31 May, but will now run until 30 June. The scheme could be extended again the Chancellor said, if necessary. He observed: “With the extension of the coronavirus lockdown measures yesterday, it is the right decision to extend the furlough scheme for a month to the end of June to provide clarity.” He added: "It is vital for people's livelihoods that the UK economy gets up and running again when it is safe to do so, and I will continue to r eview the scheme so it is supporting our recovery." Eligibility for the scheme has also been extended. Under the original rules, staff needed to have been employed prior to 28 February. Now, employers can claim for furloughed employees that were on their PAYE payroll up to 19 March. This means that the employee must have been notified to HMRC through an RTI submission notifying payment in respect of that employee on or before 19 March. If any employer now thinks they are eligible for support, they can find out here: www.gov.uk/guidance/claim-for-wage-costs- through-the-coronavirus-job-retention-scheme The changes to the furlough scheme followed the additional three-week extension of the lockdown, announced by Foreign Secretary Dominic Raab on 16 April. Garages benefit from furlough extension