The Institute of the Motor Industry (IAAF), GSF, and the Independent Garage Association (IGA) have all voiced disappointment over the Autumn Budget, arguing that it neglects the aftermarket sector and introduces counterproductive measures regarding Electric Vehicle (EV) policy.
Jonathan Douglass, Director, IGA
The IGA noted that apart from a single positive measure, the Budget offers minimal relief for independent garages facing increasing costs. Jonathan Douglass confirmed this mixed message: “While the commitment to making under-25 apprenticeships free for SMEs is a step in the right direction, the rest of the Budget feels ambiguous and offers little real-world support for independent garages.”
He warned that the cumulative effect of new policies will increase pressure: “The negative impact of EV pay-per-mile proposals, rising operational costs, and higher taxes on savings and dividends create yet more challenges.” The IGA stressed that “Clear, consistent policy is essential, yet today’s message remains mixed,” and affirmed that the association “will continue to work with government to advocate for practical, targeted policies.”
Steve Horne, GSF
Steve Horne acknowledged the necessity of the new tax while forecasting a market slowdown: “The introduction of a mileage-based tax for electric vehicles from 2028 is a pivotal moment for the UK automotive market. While designed to address falling fuel duty revenues, the OBR’s forecast of 440,000 fewer EV sales over five years signals a slower transition to electrification.”
He confirmed that GSF is prepared for a prolonged transition period, stating: “For the aftermarket, this means ICE vehicles will remain on the road longer, creating sustained demand for traditional parts and maintenance.” GSF remains focused on supporting both technologies: “GSF are committed to supporting both existing and new technologies to the fullest extent possible with parts, consumables, equipment, training and business support.”
Mark Field, Chief Executive, IAAF
Mark Field highlighted the disparity between the sector’s importance and the government’s focus: “The automotive aftermarket is significantly the largest element of the UK automotive sector, and the budget does nothing to support the thousands of businesses that deliver affordable mobility to the millions of motorists every day.”
He criticised the government’s approach to the EV transition: “Even more remarkable is this government’s plan to charge the ones that do, with a pay per mile tax on EVs. This will further reduce EV adoption.” He advocated for a more comprehensive strategy, suggesting: “we should be supporting businesses and programmes that deliver on the sensible notion that a technology neutral approach to future mobility is the best way to ensure effective consumer choice and affordable motoring.”
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