Motor Trader The award-winning and longest running UK magazine for car retailing professionals. Your first stop for News, Jobs and Reports for the motor industry.
Claims by Warranty Direct that garage labour rates have hit a record high have been attacked by the RMI’s National Franchised Dealers Association.
According to the annual Warranty Direct Labour Rates Survey the national average cost of garage labour, combining both franchised and independent rates, has risen year-on-year by 5.81 per cent to £74.82.
The survey found franchised dealers were nearly 40 per cent more expensive than their independent competitors.
The average labour rate for franchised dealers is now £90.59, up from £87.19 last year, with independents charging £55.90, up from £52.69 in 2009.
“The once relentless upward march of labour rates appears to have started again after a slight dip last year,” says Duncan McClure Fisher of Warranty Direct.
However, the RMI’s NFDA director Sue Robinson has rounded on the findings as “misleading” saying independent workshops have raised their charges at a greater rate than franchised sites.
“The percentage rise of 5.81 per cent given in the survey, includes prices for both franchise and independents, which is misleading to the reader and implies that franchise dealers have put their rates up by this much, when the real figures show an increase of 3.9 per cent for franchised dealers against an increase of 6.01 per cent for independents garages.
Robinson also launched a veiled attack on the lack of specialist skills offered by independents.
“It is important to note that the comparison should be made between like-for-like services, which is not made clear in the survey. Having your car looked after by a franchise dealer includes the specialist knowledge and equipment, and the support of the manufacturers technical department. The consumer makes the decision about where to service their vehicle based on a range of criteria, one may be cost which will vary from region to region, whilst another may be quality of service.”
Warranty Direct Labour Rates Survey at a glance
Top 10 most expensive regions for garage labour rates
| County | Average cost for an hour’s labour |
| Surrey | £87.59 |
| Middlesex | £87.50 |
| Hertfordshire | £87.48 |
| Berkshire | £84.03 |
| London | £83.55 |
| Manchester | £80.41 |
| Warwickshire | £79.91 |
| Cardiff | £79.79 |
| Suffolk | £79.77 |
| Essex | £79.61 |
Top 10 least expensive regions for garage labour rates
| County | Average cost for an hour’s labour |
| Renfrewshire | 53.86 |
| Isle of Wight | 56.41 |
| County Durham | 57.97 |
| Inverness-shire | 58.25 |
| Fife | 58.39 |
| Clwyd | 60.30 |
| Lanarkshire | 60.58 |
| Mid Glamorgan | 60.74 |
| Angus | £63.52 |
| Bedfordshire | £64.37 |
Average Labour rates by region
| County | Average cost for an hour’s labour | Percentage difference to ‘09 |
| Aberdeenshire | £70.22 | -1.05 |
| Angus | £63.52 | +8.73 |
| Bedfordshire | £64.37 | +0.72 |
| Berkshire | £84.03 | +3.98 |
| Buckinghamshire | £79.40 | +0.78 |
| Cambridgeshire | £73.64 | +3.22 |
| Cardiff | £79.79 | +19.09 |
| Cheshire | £77.38 | +5.18 |
| City of Bristol | £68.59 | -4.24 |
| Cleveland | £65.32 | -4.44 |
| Clwyd | £60.31 | +4.38 |
| Cornwall | £65.92 | +6.66 |
| County Antrim | £74.47 | +7.22 |
| County Durham | £57.98 | +3.95 |
| Cumbria | £70.00 | -1.31 |
| Derbyshire | £73.77 | +11.85 |
| Devon | £71.32 | +4.58 |
| Dorset | £66.70 | -1.91 |
| East Riding of Yorks | £76.46 | +4.09 |
| East Sussex | £64.69 | +8.11 |
| Edinburgh City | £71.16 | +2.84 |
| Essex | £79.61 | +3.04 |
| Fife | £58.39 | +18.68 |
| Glasgow City | £68.07 | +2.16 |
| Gloucestershire | £78.06 | +11.43 |
| Hampshire | £79.31 | +8.16 |
| Herefordshire | £74.46 | +.012 |
| Hertfordshire | £87.48 | +7.66 |
| Inverness-shire | £58.26 | -5.44 |
| Isle of Wight | £56.42 | Unavailable |
| Kent | £75.56 | +3.45 |
| Lanarkshire | £60.58 | -12.67 |
| Lancashire | £72.19 | +12.40 |
| Leicestershire | £70.31 | +1.38 |
| Lincolnshire | £71.88 | +20.69 |
| London | £83.56 | -2.54 |
| Manchester | £80.42 | +2.91 |
| Merseyside | £69.90 | +5.27 |
| Mid Glamorgan | £60.75 | Unavailable |
| Middlesex | £87.51 | +0.57 |
| Norfolk | £74.52 | +10.81 |
| North Yorkshire | £76.51 | +5.40 |
| Northamptonshire | £65.39 | -5.79 |
| Northumberland | £53.76 | -12.70 |
| Nottinghamshire | £70.25 | +3.86 |
| Oxfordshire | £72.69 | +6.08 |
| Renfrewshire | £53.86 | +17.25 |
| Shropshire | £75.66 | +3.56 |
| Somerset | £68.94 | +8.26 |
| South Yorkshire | £68.23 | -0.15 |
| Staffordshire | £75.50 | +16.76 |
| Suffolk | £79.77 | +22.17 |
| Surrey | £87.59 | +3.62 |
| Tyne & Wear | £74.88 | -7.22 |
| Warwickshire | £79.92 | +13.98 |
| West Glamorgan | £76.53 | -5.90 |
| West Midlands | £64.71 | +13.54 |
| West Sussex | £75.79 | +0.12 |
| West Yorkshire | £66.18 | +4.01 |
| Wiltshire | £70.25 | +1.61 |
| Worcestershire | £73.14 | +5.43 |