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Vertu boss warns of mounting UK pre-registrations in falling new car market

robert_forrester_2010_250A leading dealer group boss has warned of mounting pressures on dealers to pre-register cars in order to reach sales targets.

On the increase

Vertu Motors chief executive Robert Forrester (pictured) said pre-registrations were on the increase in a shrinking post-scrappage market.

“In the past six months there has certainly been more [pre-registrations] than in the previous 18 months.

“The new car market has dropped off post-scrappage. There is more pressure, potentially, for people to hit target.

Post scrappage market

“Certainly, while we have comparatives with scrappage months, there is always going to be potential for it to happen,” he told Motor Trader.

Forrester said Vertu, for its part, had a strong retail performance in September, which earned it bonuses from carmakers without having to pre-register vehicles.

In September Chevrolet UK managing director Mark Terry said the UK market is being skewed with a flood of pre-registered vehicles hitting forecourts.

Cap Black Book

In June Cap Black Book warned pre-registrations were distorting the market.

This month Vauxhall boss Duncan Aldred told Motor Trader.

“In retail it’s a bonus-led environment so dealers will sometimes have a good business case to put some extra demonstrators on their fleet.

“It’s an individual dealer’s choice, as a brand we don’t go out there and mandate that dealers register this or that.”

 

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