The BVRLA has today published findings from a recent survey assessing the business impact of both the Covid-19 pandemic and EU Exit.
Wave 1 of the BVRLA Business Impact Survey was carried out in February as a follow-on from the series of Covid-19 Surveys, which took place in 2020.
The survey findings provide a snapshot ‘state of the industry’, which highlights businesses’ continued reliance on three key Government support measures. This has helped to inform the association’s pre-Budget Covid policy asks:
1. Extend furlough until the end of national restrictions
2. Provide business rates relief for another year
3. Extend the deadlines for repaying deferred VAT and increase flexibility
In the Survey, more than three-quarters (77%) of vehicle hire firms reported a fall in annual sales transactions, with just over a quarter (26%) seeing transactions plummet by more than 50% compared to 2019. Overall, 73% of member organisations across sectors reported a reduction in sales transactions.
The adverse market conditions also led to 70% of rental firms reducing their workforce, many by more than 25%. Across all sectors of membership, 44% reported having to cut staffing levels.
The vehicle rental sector has been disproportionately hard hit by restrictions on travel and movement, resulting in a cliff-edge drop-off in the leisure customers that generate around 40% of all UK vehicle hire transactions each year.
Full details of the BVRLA’s 2021 Spring Budget Submissions can be read on the BVRLA website.
Read the press release issued on 2 March 2021: Support measures are critical to survival of SMEs, says BVRLA