25 March 2009
Unlocking credit could be the key to boosting car manufacturing in the UK, one expert claims.
Neil Barlow, chief executive of the Northwest Automotive Alliance, suggests people need incentives to buy a new car, which will increase production as a whole.
His comments were made in response to figures from the Society of Motor Manufacturers and Traders, which showed that, in February, car production suffered as manufacturers responded to demand.
It revealed that commercial vehicle production declined by 71.6%, with over 300,000 units lost from output over the last 14 months.
"People in the industry who I spoke to could not see any bottoming-out in the market, so the figures are probably in line with forecasts," Mr Barlow comments.
By unlocking credit, people are able to consider buying a new car, he adds, which will need to be purchased with car insurance to be roadworthy.