Brakes put on UK car production

 
Joseph Millis
Car production in the UK fell 6.7 per cent last month because of economic uncertainty
BRITISH car production went into reverse gear last month as growing uncertainty about economic prospects abroad hit demand.

The number of vehicles rolling out of UK car factories fell by 6.7 per cent to 150,060 in October compared with the same month last year.

The decline also pulled output in the year to date below last year’s level, easing back 0.3 per cent to 1.282m vehicles.

Almost four out of five cars built in the UK are exported, with an even split between those destined for the EU and non-EU export markets.

“The UK’s car manufacturing industry is still in a strong position in spite of the growing uncertainty surrounding the global economy,” said Mike Hawes, chief executive of industry trade body the Society of Motor Manufacturers and Traders (SMMT). “Billions of pounds have been invested into UK facilities in the past two years, with several new models starting production this year and more in the pipeline.”

The SMMT said that despite the slowdown, it still expected production to hit all-time records within the next few years, building on the UK car industry’s current annual turnover of £64bn.

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