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Investing.com -- UK car production dropped 27.1% in September as a cyber attack halted operations at Britain’s largest automotive employer, according to data released by the Society of Motor Manufacturers and Traders (SMMT).
Only 51,090 vehicles left factory gates during the month, with the significant decline primarily attributed to the production stoppage caused by an unprecedented cyber incident. Other volume manufacturers reported growth during the same period.
The combined car and commercial vehicle production fell 35.9% to 54,319 units in September. Commercial vehicle production specifically declined for the sixth consecutive month, dropping 77.9% to 3,229 units due to operational consolidation by a leading manufacturer.
Nearly half (47.8%) of cars manufactured in September were electrified models - either battery electric, plug-in hybrid or hybrid - with volumes increasing 14.7% to 24,445 units. Production for the domestic UK market fell 34.1% to 12,269 units, while exports declined 24.5% to 38,821 cars, representing 76% of total output. The EU, US, Turkey, Japan, and South Korea were the top five export destinations.
Year-to-date figures show UK car and van factories have produced 582,250 units, representing a 15.2% decline compared to the same period in 2024.
The SMMT is urging the Chancellor to reconsider plans to end Employee Car Ownership Schemes (ECOS) ahead of the November 26 Budget. According to new analysis by the organization, ending these schemes would affect 60,000 automotive manufacturing workers by reducing their remuneration value and potentially leaving them without personal transportation.
The industry body warns that scrapping ECOS could result in 80,000 fewer new car sales annually, damage to the used car market, and a reduction in UK production volumes by up to 20,000 cars. This could lead to a loss exceeding £1 billion in revenue, putting approximately 5,000 manufacturing jobs at risk, and creating a nearly half-billion-pound deficit in government finances from lost tax receipts.
Mike Hawes, SMMT Chief Executive, said: "September’s performance comes as no surprise given the total loss of production at Britain’s biggest automotive employer following a cyber incident. While the situation has improved, the sector remains under immense pressure."
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