October 2020

50 AFTERMARKET OCTOBER 2020 BUSINESS www.aftermarketonline.net loans, income tax deferrals, rental support, increased levels of Universal Credit, mortgage holidays and the various business support schemes. The SEISS was originally announced in March, and was due to expire on 31 May, but was extended. 18 August: Surf’s up: Get on top of the work deluge and digital wave With the backlog of MOT and repair work now surging into garages, the PSA-backed Eurorepar Car Service (ERCS) network is urging garages to look at updating their digital presence so they can make the best of the opportunity in a changed business landscape. Adrian Mossop, Head of Network and Business Development at ERCS, said “For those garages that have ridden out the COVID-19 storm, there awaits a deluge of vehicles in desperate need of care and attention. There is also a new customer base that has become more accustomed to conducting its business online, expecting responsive service and ultimate convenience. There is now an opportunity for savvy garages to not only reconnect with existing customers, but to tap into a whole new demographic and generate new business. “It means ensuring quick responses to reviews on social media; making sure that you have a professional, intuitive website that works on all devices; having a presence on a reliable work provision platform and ensuring that your signage and branding on-site makes you stand out from the crowd.” 24 August: Autotech Training doubles MOT Manager courses Autotech Training revealed it had increased the number of its DVSA approved MOT Test Centre Management courses by 50% to cope with rising demand resulting from lockdown and the MOT exemption. Autotech Training, Autotech Recruit’s training division, is now carrying out weekly, two-day, MOT Test Centre Management courses from its training suite at the company’s Milton Keynes HQ. Mandla Ndhlovu, Head of Autotech Apprentice and Training, said: “With many MOT Test Centre managers and vehicle technicians putting MOT Manager training plans on ice due to the COVID-19 lockdown measures, there is now a shortage of courses available within the industry to manage demand.” Mandla added: “By doubling the number of MOT Test Centre Management courses, we are able to meet demand, and offer greater availability to other technicians.” 25 August: NBRA calls for Furlough extension The National Body Repair Association (NBRA), has called on the government to extend the Coronavirus Job Retention Scheme (CJRS). Despite bodyshops being permitted to remain open during the lockdown, as they provided an essential service, the 80% reduction in accident repair claims meant almost all had to close and place their staff on furlough. NBRA Director Chris Weeks commented: “While motor vehicle use has risen to the range of 90%-100% of pre-lockdown levels, accident repair claims have lagged and sit at little over 60% of what they would normally be.” The NBRA stated in a letter to the Chancellor of the Exchequer that the 2,500 SMEs that comprise the sector are generally on low margins with high operating costs. It added that they cannot be expected to go on for long after the CJRS is withdrawn in this current economic environment. Chris added: “The only solution to this crisis in our sector is to extend the CJRS until there is a significant improvement in work volumes, or at the very least, until the end of December. The work our members do in keeping vehicles in a roadworthy condition is vital to keeping the UK’s roads safe – ensuring their viability through the COVID-19 crisis is essential.” 1 September: Furlough: The 10% Solution From Tuesday 1 September, garages that have taken advantage of the Coronavirus Job Retention Scheme needed to pay 10% of wages so employees still received 80% of their pay under furlough. As part of a progressive withdrawal of the furlough, the government’s salary contribution dropped from 80% to 70%. Businesses that have put staff on furlough had since Saturday 1 August already been required to pay National Insurance and pension contributions for their workers. Up until then, the government had been paying up to 80% of wages up to a maximum of £2,500 per month.

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