- More acquisitions planned by Harwoods buyer
- FCA in £1m car finance compensation awareness campaign
- Marshall expands with Chery
- JLR production halt extended
- WEEK AHEAD: Bank of England interest rate decision
- Chancellor to cut VAT on energy?
- Interest rates set to remain on hold
- Canada auto industry looks to UK and EU
- Subprime auto lender collapses
- OPINION: Value over vanity for UK car buyers
More acquisitions planned by Harwoods buyer
DXB Auto Investments, the company behind the purchase of Harwoods’ JLR operations, plans to add more premium, luxury and super luxury retail businesses in 2026.
Auto Sunday understands the aim is for the group, which will initially trade under the Southeast Motors name, is to become one of the UK’s 20 largest retailers.
The new business is run by CEO Mark Jenkins, with former Group 1 sales director Lee Galloway running the JLR operation. Industry expert Mike Jones is also acting as a strategic advisor to DXB Auto.
DXB Auto is ultimately owned by the UAE-based Al Ghandi family. The family also owns the Al Ghandi Auto Group which operates across the UAE and East Africa. It has more than 1,700 employees and is one of the world’s largest Cadillac retailers as well as having a wide range of associated automotive businesses.
The Harwoods JLR dealerships purchase by DXB Auto, along with the BMW, Mini and Volvo authorised repairer operation, is expected to complete at the end of October.
FCA in £1m car finance compensation awareness campaign
The FCA is launching a £1m radio and online advertising campaign to tell consumers they don’t need to use claims management companies to access its proposed car finance compensation scheme. Influencers will also be posting information on social medial channels including Instagram and TikTok.
“We’ll set out plans for a free, easy-to-access motor finance compensation scheme,” said executive director Sheree Howard. “We’re concerned a significant number of people are unaware you don’t need to use a CMC or law firm to claim compensation.”
Consultation on the compensation scheme is set to open in early October.
Marshall expands with Chery
Constellation Retail has partnered with Chery and will launch the Chinese new entrant in its Gatwick, Manchester and Medway (Kent) Marshall sites later this year. Constellation Retail will also expand with Chery’s Omoda and Jaecoo brands; currently in Nottingham, Gatwick and Lincoln, it will also open branches in Bristol and Manchester.
“Chery’s global reputation for quality and innovation fits perfectly with our commitment to delivering more choice and smarter mobility solutions,” said Constellation Retail CEO Gary Savage.
JLR production halt extended
JLR has again extended a halt to car production following a cyberattack. A possible restart tomorrow (Monday) has been pushed back to Wednesday at the earliest. The 34,000 JLR workers who remain at home are still being paid, banking hours to be picked up later on. The shutdown has been in place for 12 days already.
Concern is growing over JLR’s suppliers, with MPs on the business and trade committee writing to the chancellor last week to ask what support is being offered.
WEEK AHEAD
Tuesday, Donald Trump state visit
Tuesday, UK unemployment
Wednesday, CPI and RPI
Thursday, Auto Trader Group AGM
Thursday, Bank of England interest rate decision
Friday, GFK consumer confidence
DATA INSIGHT
Chancellor to cut VAT on energy?
5%: The current VAT rate on household energy. Reports emerged over the weekend that the chancellor is considering lowering it to zero, saving consumers £86 a year (and costing the Treasury £1.75bn a year).
Interest rates set to remain on hold
4%: Current interest rate, which economists and traders expect to remain unchanged when the nine-member Bank of England monetary policy committee meets on Thursday. Stubborn inflation of 3.8%, nearly double the official target, is behind the expectation.
GLOBAL AUTO
Canada auto industry looks to UK and EU
A top Canadian trade official has used a visit to the UK and Germany to strengthen ties with the countries as a way to offset tense trade relations with the US. “The US doesn’t appear to be a reliable partner in the near future,” Vic Fedeli told Automotive News Europe, “and that brings us to the EU and UK as we look to grow investment.”
Subprime auto lender collapses
Tricolor Holdings, a US subprime auto lender, has filed to liquidate in Texas. It had more than 25,000 creditors and between $1bn-$10bn in liabilities. Bundles of loans packaged up by Tricolour have sold off at distressed levels, reports the FT; one slice of debt issued in June, which was earlier given a triple A rating, is selling at 78 cents on the dollar, and a more lowly-rated tranche is as low as 12 cents on the dollar.
OPINION
Value over vanity for UK car buyers
Last month’s registration data paints a picture that should send shivers through the boardrooms of Stuttgart, Munich and Ingolstadt. Mercedes, BMW and Audi are all suffering steep declines in 2025, with Audi alone down almost 14,000 units year-to-date. At the same time, a cohort of new entrant brands (led by BYD, Jaecoo and Omoda) has added over 40,000 sales to the UK market, comfortably outpacing overall growth.
The message from consumers is blunt: badge cachet is no longer enough. UK new car buyers appear increasingly driven by value; value in terms of pricing, equipment, warranty and efficiency, rather than higher-priced brand heritage.
The sharp rise of Chinese newcomers underscores this trend. They’re offering competitive vehicles with generous technology at prices that leave premium brands looking exposed.
Even Tesla, with all the noise around Elon Musk’s political controversies, has seen only a marginal 5% decline and this could be attributed to its model cycle changes. Its appeal seems more about product positioning, the range, charging network and an extremely competitive monthly price, than brand loyalty. That resilience further reinforces the point it’s the tangible offer, not the logo, that matters most right now.
Consumers are being ultra-cautious when spending their hard-earned money because they aren’t feeling particularly positive about how the UK is performing economically.
For years, German marques could rely on a perception of superior engineering and prestige. But consumers now see alternatives that are good enough for thousands less. In a cost-of-living climate where every pound matters, rational choice is trumping emotional allegiance.
The challenge for the legacy brands is clear: sharpen the value proposition or risk further erosion. Prestige has power and a value all of its own, but only when it’s backed by product and pricing that feel relevant. Let’s hope September, and its new registration plate, will see some of that combination attract more buyers.
Tristan Young
Editorial Director
Auto Sunday
Get in touch: tristan@autosunday.co.uk
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