“During these challenging times, we urge the FCA to consider waiving its fees or at least implement a one-year deferral for motor retailers”, said Sue Robinson, Director of the National Franchised Dealers Association (NFDA) which represents franchised car and commercial vehicle retailers in the UK.
The Coronavirus outbreak is having a significant impact on the motor retail sector. Showrooms have now closed their doors for sales enquiries and/or deliveries, and, whilst repair centres may remain open to cater for essential key workers, the demand for essential service and repair services for other customers has declined as motorists make fewer journeys.
Franchised retailers provide sales and repair services to motorists and businesses across the UK, as well as car finance and insurance products.
Firms such as franchised dealers groups that are regulated by the Financial Conduct Authority (FCA) pay an annual fee to be authorised to provide finance products.
In light of the dire trading conditions facing our members, NFDA has written to the FCA to look to waive its fees or at least consider a one-year deferral of 2020 FCA annual fees for motor retailers.
Sue Robinson added, “Each measure that mitigates against the severity of the impact of the Coronavirus will be vital in retaining jobs and investments.
“This simple yet effective measure would ease the burden on motor retailers and give them additional breathing space to meet obligations to staff and creditors.
“NFDA welcomes the opportunity to further discuss with the FCA the feasibility of how a waiver or deferral of fees could be implemented and communicated to retailers. We will keep our members updated”.
NOTES TO EDITORS
Gabriele Severini, NFDA Communications Manager
Tel: 0207 307 3423
Mob: 07880 039 897
Press Office direct line: 020 7307 3422
Web: www.nfda-uk.co.uk Email: email@example.com