November 2020

T he IGA hasn’t been dealing with a single big issue for its members and the wider industry in 2020, it’s been dealing with a multitude. Coronavirus was just the starting point for a whole host of challenges for the entire sector. Let’s unpack it all. COVID-19 necessitated the lockdown, which led to the furlough scheme. As a result we ended up with the MOT exemption, which eventually provoked a campaign to end it as soon as possible. While this was going on, there was also the problem of getting garages classified as retail so they could claim for business rate exemption. Once we came out of all this, businesses needed to start thinking about how to make the most of a good situation by promoting themselves more effectively and making enough money, while coping with about a year’s worth of MOTs squeezed into three or four months. This is just the headlines. Talk about exponential growth. Belonging Heading up the industry fight-back on about five fronts, was IGA Chief Executive Stuart James. He and his team have been pretty busy since March: “During the Coronavirus lockdown period between March and June, we were flat-out. We had a great number of fights, but garages realised that the value of belonging to the IGA far outweighs what we charge in terms of the actual return on investment.” Reflecting on the impact of the lockdown, he observed: “Lockdown itself was a really difficult time for garages. First of all, the government said garages could remain open to support essential workers, which was a very sensible thing to do. “The reason the government did it makes sense; to keep people in their houses and to keep them isolated. I understand that, but for garages it absolutely took their workflow away, and crippled a great number of businesses. The garages were furloughing their staff, and about 50% of independents shut down. “We supported the government’s efforts throughout this whole crisis, because it has never happened before and everybody was learning as they went. Then of course the government announced the six-month MOT exemption, which for 19,500 independent garages means losing their primary source of income.” Commenting on the IGA’s efforts to resolve the inconsistencies in local authorities’ classification of independent garages within business rate relief legislation, Stuart said: “The other main area of support that the garages needed was of course access to business rates relief. Garages were originally excluded from the list of businesses that were entitled to the rates relief.” The IGA campaigned for garages operating from industrial premises to be specifically included on the list of businesses eligible for the Retail Business Rates Relief Scheme, enacted as part of the government’s support measures for businesses. “We really took that battle to the government, and they were very responsive,” continued Stuart. “We supported garages individually who were fighting for the rates relief and we ended up with a very high success rate. It took an appeal, or two or three attempts in most cases, but a great number of councils conceded that they were supporting consumers and that they were retail operations, and they paid out. There were nine councils that were particularly challenging, but on the whole most of them accepted that garages were retail and were entitled to that rates relief. Strengths This is of course where a trade association’s real strength is – being able to fight for individual businesses and for the whole sector. “Yes,” confirmed Stuart, looking at the IGA’s overall efforts over the period, “and for the garages, it was a real time of need. I hold my head up high, in knowing that when our members need us, we are there. It was the whole industry as well though. We really were there for 8 AFTERMARKET NOVEMBER 2020 BIG ISSUE Right: Stuart James, CEO, IGA www.aftermarketonline.net GOING EXPONENTIAL WITH THE IGA Aftermarket speaks to IGA CEO Stuart James about how the IGA is helping the sector face current challenges, as well as whatever comes next