Lack of parts and SMR delays highlighted by BVRLA

A lack of parts and increasing SMR (service maintenance and repair) costs and delays have been highlighted by the BVRLA’s half-year Industry Outlook Survey.

Declining parts availability – cited by 90% of respondents - is leading to prices and off-road times increasing. 92% of respondents reported an increase in vehicle downtime, compounded by an upsurge in labour costs (reported by 94% of respondents) and an aging fleet requiring more maintenance.

The aftermarket “aggravation” comes as vehicle supply levels are steadily improving and more fleet orders are being fulfilled.

“For the fleet and mobility services sector, there really is no such thing as ‘business as usual’ anymore,” said BVRLA chief executive, Gerry Keaney.

“Hampered by Brexit, COVID, cost-inflation and carbon reduction targets, the global automotive supply chain continues to lurch from one crisis to another, with BVRLA members bearing the brunt.

"The sentiments shared in our latest report highlight this, but they also tell a story of optimism and remarkable resilience. Green shoots are appearing with vehicle supply and most of our members are seeing growing sales. We are not out of the woods, but we have every reason to believe that businesses in our sector are on the right path.”

For cars and, to a lesser extent, vans, fewer BVRLA members are reporting that vehicle supply is an ‘extreme barrier’ to business when compared to August 2022. For cars, lead times of 10 months or more are no longer the norm, with deliveries improving on electric, hybrid and ICE vehicles.

The picture for vans has also improved, although the BVRLA says more than half of orders are still taking over 10 months to reach their destination. 54% of ICE vans are being delivered 10+ months after initial order, down from 68% in August 2022, with a similar situation for electric vans (51% 10+ months vs 61% in August 2022).