Currently, in the UK, both car sales and new car production levels are high, but there is one potential weak link that may slow growth. Some car industry specialists are warning that a weak supply chain could slow growth.

Coatbridge, Lanarkshire -- (SBWIRE) -- 04/24/2015 -- Inward investment into the UK car-manufacturing sector is at an all time high, but the number of suppliers available to provide the parts for car manufacturers is at an all time low. Over the past 20 years, virtually every large 'tier one' supplier stopped manufacturing in the UK and moved abroad. This means that the majority of the parts that go into the new cars manufactured in the UK have to come from abroad. The supply chain for UK car manufacturers is far more complex and therefore more vulnerable than it was two decades ago, which is the last time the car industry was strong in the UK.

This makes UK car manufacturers more vulnerable. This fact creates a more volatile trading environment for them. Profitability can be hit by changes in the exchange rate and rising fuel costs.

Changes to the economy of the countries where their parts are being manufactured have a big impact as well. If wages rise in those countries,the car manufacturer has to bear much of the additional production cost burden. The more complex, volatile and elongated supply chain that UK manufacturers have to work with means it is far harder for them to keep pace with increasing demand.

There is a danger that this issue could have a knock on effect for the used car industry. The used car sector needs sales of new cars to continue to grow at a fast rate to ensure that enough second hand vehicles enter the market. Demand for used cars in South Lanarkshire and many other parts of the UK has soared from the end of 2014, and it is expected that demand in 2015 will continue to be strong, if not stronger. This is good news for used car dealers, but they need a good supply of cars to meet that increasing demand.

For more information visit the website http://www.whitesofcoatbridge.co.uk/

For Media Contact:
First Name: Alan
Last Name: White
Business Name: Whites of Coatbridge
Address: 225 - 227 Dundyan Road
City: Coatbridge
County: Lanarkshire
Postcode: ML5 4AR
Country: United Kingdom
Phone No.: 01236 437780
Email: whitesofcoatbridge@hotmail.com
Website: http://www.whitesofcoatbridge.co.uk/

For more information on this press release visit: http://www.releasewire.com/press-releases/release-3.htm

Coatbridge, Lanarkshire -- (SBWIRE) -- 03/25/2015 -- For the past few years, those dealers that sell used cars in the UK have been at a disadvantage when it comes to finance. New car dealers have been able to offer zero interest deals and invite consumers to buy without having to put down a deposit. This has given the edge to the franchisers, helping them to sell more units.

However, that is set to change as finance providers now start to offer PCP schemes tailored for the used car market. These new financial packages should allow used car dealers to compete more effectively.

This will really help to boost cars for sale in Lanarkshire and other parts of the UK where the demand for used cars is traditionally higher than it is for new cars. It means that consumers will not necessarily have to save a deposit to buy a used car. This means they are more likely to enter the market sooner and buy their home sooner. Once consumers have bought one car they are far more likely buy more units down the line, so access to better car finance for used cars should provide long-term growth in the sector.

The plan is to offer used car PCPs on vehicles that are under three years of age. Financial firms are prepared to lend against these vehicles because they now have access to reliable used car valuation forecasts that have just started to be made available by CAP.

Given the way PCPs have fuelled new car sales in the UK over the past few years it is likely that used car sales will rise sharply once these deals become widely available. Demand for used cars is already growing. Falling power and food prices coupled with falling unemployment have both given consumers the confidence to make big purchases. This is demonstrated by the fact that used car sales during, the last quarter or 2014 were the highest they have been since 2006.

Franchise dealers will also benefit because they will be able to sell their pre-registered vehicles using PCPs. Something they have not been able to do in the past.

For more information visit the website http://www.whitesofcoatbridge.co.uk/

For Media Contact:
First Name: Alan
Last Name: White
Business Name: Whites of Coatbridge
Address: 225 - 227 Dundyan Road
City: Coatbridge
County: Lanarkshire
Postcode: ML5 4AR
Country: United Kingdom
Phone No.: 01236 437780
Email: whitesofcoatbridge@hotmail.com
Website: http://www.whitesofcoatbridge.co.uk/

For more information on this press release visit: http://www.releasewire.com/press-releases/release-3.htm