One of the largest
car dealers in the UK faced a crashing balance sheet last year,
falling £15 million into the red. The slump was due to the economic
crisis wiping out sales of
new cars, and generally cutting the price of all
vehicles .
Car dealer Lookers shut just under 30
car dealerships around the country, and also cut around 800
jobs. The
car and
car finance company showed how sales fell 12% throughout its
120 showrooms.
Finance Director David Dyson was reported in the
vehicle finance news as commenting: Normally you are
looking at about 2% a month or £50 off a cheap, small car or
£200-£300 off a bigger, smarter motor. But we were seeing falls of
more than twice that and up to £2,000 a month on luxury 4x4s like
Range-Rovers.
However, employing cost cutting measures, the firm remain resolute
and confident that the
scrapping scheme could benefit
new car sales .
