SMMT calls on Government to support £5bn UK niche sports car industry

The Society of Motor Manufacturers and Traders (SMMT) is urging the Government to consider the needs of small volume automotive (SVM) brands as part of its forthcoming industrial and trade strategy plans.

The SMMT said brands like Aston Martin, Bentley, LEVC, Lotus, McLaren, Morgan, Rolls-Royce and more helped to bring in £5.5 billion and accounted for nine out of 10 automotive exports each year.

Together these brands were responsible for 4% of total UK car production yet accounted for 12% of the value.

The SMMT said the SVMs, like the wider industry, face volatile global trading conditions, the race to decarbonise, production cost pressures and the skills transition.

However, the SVMs also face unique challenges with lower volumes and longer product development cycles meaning production costs can take longer to recoup.

Mike Hawes, SMMT chief executive, said: “Britain’s luxury, performance and niche vehicle makers are exemplars of automotive design, engineering and manufacturing – and a quintessential British success story, the definition of ‘Made in the UK, Sold to the World’.

“The Government rightly recognises the importance of these high value and iconic brands to the UK economy and, amid multiple geopolitical headwinds, the industry is looking to work together to ensure the sector can not just survive but thrive.

“A successful sector would deliver the economic growth, well-paid jobs and exports that the Government craves, helping keep Britain firmly on the global automotive map.”

The UK’s Small Volume Automotive Manufacturers: An Enduring British Success Story sets out in detail the measures that the Government, working with industry, should introduce to support a successful sector.

These include increased flexibility for SVMs to deliver zero emission products, greater access to research and development funding, deliver trade negotiations to address market access barriers and help support upskilling with a reformed Growth and Skills Levy.

The news comes as SMMT brings together senior industry leaders and MPs with a selection of the latest models from Britain’s SVMs – Aston Martin, Bentley, LEVC, Lotus, McLaren and Morgan – for a photoshoot and ministerial engagement hosted by the Foreign, Commonwealth and Development Office in London.