Carmakers are forced to slowdown operations as the UK auto industry is hit by plummeting demand. Jaguar is the latest victim of the credit crunch, following cutbacks by Toyota, Bentley, and Land Rover according to the Times Online.
Consumers are choosing to hold onto their cash instead of indulging in premium brand automobiles. Production is being scaled back as demand and sales slide across the markets.
Despite overall consumer debt rising last month in August, the UK took it’s biggest hit in 40 years whilst exports also suffered from low demand.
To compound the issues of poor consumer confidence it is also believed there is less money available for car finance. Similar to the mortgage market, the Retail Motor Industry Federation, or RMIF, warns the severe lack of sub-prime car finance.
Leave a Reply