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BE forces independents to diversify

More independent garages are setting up motor factor operations to support their core business in the wake of the Block Exemption changes, according to Peugeot’s UK all-makes parts supplier Motaquip.

The company says new business start-up inquires to its partnership programme from garage owners have more than doubled since 2003, when only one in 10 of Motaquip’s inquiries came from independent garage owners.

Peter Cox, of Motaquip, said: "Garages know better than anyone when existing factors in an area are failing to deliver on their requirements. However, for some garages there could be wider automotive issues acting as a catalyst.

"Changes to Block Exemption legislation may well have caused a minority of garages to realise the benefits of supplying parts to other garages and some franchised dealers. However, on the other hand, increasing vehicle complexity and a fear for the independent sector in the future may have led some garages to look at additional revenue opportunities."

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