Williamson Motors, a family firm founded at Darlington in 1939, has paid £1m for a Citroen dealership, which will take its turnover to around £40m.

The £8m turnover outlet was acquired from the Springfield group in Newcastle-upon-Tyne. It is in Chestnut Street, opposite Williamson’s Peugeot outlet and headquarters where the company began, providing the chance to run them as one business. The Citroën outlet will provide additional business for the firm’s nearby bodyshop.

Simon Williamson, managing director and grandson of founder Edwin, says: “We’ve jumped from £8m turnover five years ago and, though the growth has been more rapid than planned, opportunities presented themselves that we felt we had to take.”

Williamson Motors has a Peugeot outlet in Spennymoor, bought from Nelsons, another family firm, four years ago.

The company also occupies a 7.5 acre site in Hartlepool, which holds the Peugeot, Renault and Kia franchises.

On another part of the site, Williamson represents Hino, Daf, Foden and Isuzu, selling large quarry-type trucks and LCVs.

Williamson says: “We have come through a difficult time with Peugeot, but have confidence in the manufacturer, and the 207 will be on sale soon.

“Many family firms fail to survive, and it gives me satisfaction to run a business started by my grandfather.

“My father Michael took it on in 1965, and is now retired. We may expand further, but for now I want to consolidate what we have.”