Data released by the Office for National Statistics (ONS) in the UK show that 92 per cent of automotive businesses in Britain were back trading by the second half of June.
Analysis of this data by Institute of the Motor Industry (IMI) illustrates determination of sector to get back on its feet, with 19 per cent reporting increase in turnover.
ONS reports that approximately 62,000 jobs returned to work from furlough in the second half of June; an additional 19,700 are planned to return in the first two weeks of July. However, around 219,000 jobs remain on furlough.
Three per cent of organisations with a workforce of greater than 250 are still temporarily closed compared to 10 per cent of those with a workforce of less than 250.
Nineteen per cent of automotive businesses in the UK reported an increase in turnover, while 60 per cent reporting a decrease.
Data from ONS also found that eight per cent of businesses reopened, equating to approximately 7,500 businesses, while four per cent (3,300) plan to reopen in the first two weeks of July.
Steve Nash, CEO of the IMI said: “It is tremendously encouraging to see how determined our sector has been in getting back on its feet since the June 1st opening of showrooms. Our previous report showed tentative signs of recovery but the latest data suggests that automotive businesses really grasped the nettle in the second half of June.
“Just eight per cent had not reopened and 62,000 jobs returned to work from furlough. But with only just over a third saying that cash reserves would last for more than six months, it’s clear that balancing cashflow remains a challenge.”
ONS also reports that 6.1 per cent said that they either had no cash reserves or less than a month, potentially putting 5,000 businesses at risk.