As the majority of the dealer network is dual-franchised with Vauxhall, dealers will need to negotiate a potential partnership with a competitor brand. Suzuki could be a potential fit as a growing brand with a 10-car model range and well-priced small cars and SUVs. Mitsubishi is also looking to increase the size of its dealer network.

 

Are other brands at risk of exiting the UK?

  
   

Does the brand’s exit from the UK hint at other potential departures? In a market up 10.8% in 2013, certain brands are still struggling to find a place in the UK.

Renault found itself in a tough position during the recession, but the brand took action to reduce its dealer network and model range. The addition of Dacia to Renault’s dealer network has helped recover overall group volumes (up 55.3% to 63,319 units in 2013).

Proton dismissed calls that it will end its presence in the UK and promised new models. However, a total of 20 registrations in a year is a difficult figure to look at for a manager at a single site business, let alone a UK importer.

Perodua’s volumes were down 50.48% in 2013, but like Proton, the cost of running the franchise will be relatively low, allowing it to continue to operate on the fringes of the market and as a new car franchise for used car dealers.

Chrysler Jeep almost went the same way as Dodge, Fiat Group UK boss Steve Zanlunghi admitted to AM, after both brands were on the brink of pulling out last year.

If Fiat Group’s plan to relaunch Jeep and Chrysler over the next couple of years doesn’t take hold, it is possible the UK market will become unsustainable.

Brandmate Alfa Romeo saw registrations drop by 22% last year as it struggles with a two-car model range. Fiat’s plans for Alfa have been held back by the merging of Fiat and Chrysler, which has now gone through. Fiat’s plans for new Alfa models will roll out between now and 2016, which could spell a recovery.