Morelli Group has been appointed Peugeot UK’s preferred distribution partner for paint and materials.

Morelli group sales director Ruth Moring called the decision “ground-breaking.”

“This deal offers the Peugeot network competitive national pricing, a range of support and value-added packages, and excellent feedback on CSI scoring,” she added.

Peugeot UK director for parts and service David Higgins said: “This initiative is both well timed and a positive step.

"In the few weeks since launch, more than a quarter of the approved repair network have signed up.”

The carmaker’s collision parts sales manager Adrian Mossop said: “Morelli was chosen because it is a wholly-owned national distributor and was able to increase the profit margin by offering better buying terms to Peugeot bodyshops, with up to a 10% improvement in most cases.”

So far, 37 franchised and independent bodyshops have signed up to the deal, including Peugeot’s own 13-strong retail group, Robins & Day.

Mossop said: “Whilst we have not mandated this programme, the terms, discounts and added value it brings to the bodyshops is proving to be attractive.”

He added that the deal does not affect the bodyshop’s choice in paint and supplies.