The UK is two months away from its planned departure from the European Union. The legal and political reality is that the new government under Prime Minister Boris Johnson will take the UK out of the EU on 31 October, with or without a deal.

Franchised vehicle retailers must now take very seriously the idea that a ‘no deal’ Brexit is fast approaching and take steps to mitigate against the potential threats associated with this outcome.

If the UK leaves without a deal, the UK will immediately shift to trading under the World Trade Organisation framework. Trading on these terms is likely to involve tariffs on imports and exports, an increased regulatory burden for businesses and delays to the delivery of vehicle stock and parts.

NFDA commissioned automotive research body ICDP to compile a key list of questions for franchised dealers to ask of their manufacturer partners, suppliers and themselves. The information from this checklist can now be found on the ‘industry issues’ section of the NFDA’s website (

We strongly encourage members to consult this guidance as part of their preparations for a potential no deal exit. For further assistance on the guidance and no deal readiness, please contact NFDA’s Brexit helpdesk by emailing

It is our expectation that any no deal scenario would be temporary, with both the UK and the EU facing significant pressure to conclude a Brexit withdrawal agreement. We must nonetheless ensure that our operations can continue to function in a new regulatory environment for an indefinite period.

We hope that you find this resource useful as part of your preparations over the coming weeks.