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Why does a recession and tax increase our margins?

If anything it is making it worse. A large franchise dealer around my way is having to write off £400,000 per month in depreciation. We are having to be tighter than ever with our deals. Especially with part exchanges, if you underwrite something for August and then it turns up in September you certainly don't want it coming in at August money.

It doesn't increase them, what it does do is it makes all car marques make a choice, are we gonna build a field of unsold cars or are we gonna take a hit to stay in business, maybe Skoda by volume will escape it as they are low volume compared with VX or Ford, but when hard times come round the corner, which they are btw because to55ers like Alister Darling announce it hoping to look like the honest guy and then cause it to spiral because ppl hold the money instead of spending as normal, if everyone was to just moderate the credit side of their lives a recession can be avoided, but this is how it will run, spending stops,output stops,jobs go and we can all sit about doing nothing, or we can spend a bit to keep everyone in their jobs, but when you consider the media mongering that's going on I don't think we have a chance, and a 20k car will be one of the 1st casulties to get left on the shelf, I've lived 2 of these times already in a 30 yr career so I can recognise the signs and the symptoms all too easily, think of it this way for a comparison, how would you feel if you were on a battlefield at war and the Sun told the whole world exactly what you were doing tomorrow? this is the same damage the media is doing now only on a different topic, anyway I'm rambling, so to sum up, no money = cheaper askings.

  • 4 weeks later...
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Buyacar seems to be leading the discount rate. Up to £2,600 off and that doesn't include the £300 they charge for admin. Such large discount at launch can only mean bigger savings to come over next few months. What's really interesting is that these prices appear to be for new and not pre-reg. Pre-Reg would probably take it into the £3k-£4k area. Skoda Superb at Buyacar | Car supermarket for cheap discounted new cars

Buyacar seems to be leading the discount rate. Up to £2,600 off and that doesn't include the £300 they charge for admin. Such large discount at launch can only mean bigger savings to come over next few months. What's really interesting is that these prices appear to be for new and not pre-reg. Pre-Reg would probably take it into the £3k-£4k area. Skoda Superb at Buyacar | Car supermarket for cheap discounted new cars

Buyacar are more expensive for it than even the twice increased broadspeed prices.

When you buy from some of these companies you have to be sure that you are being sold the car properly from the outset and not having to wait 3 months for the V5.

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