Vauxhall confirms cut in dealer numbers

Vauxhall confirms cut in dealer numbers, with the potential for the British brand to share sites with Peugeot, Citroen and DS

vauxhall dealership

Vauxhall is to terminate all its dealer contracts from April 2019 and will re-franchise its entire dealership network, with some dealers facing cuts. 

Vauxhall boss Stephen Norman said the company is to give its 326 dealers that are run by 93 groups, and which employ 12,000 people, a two-year notice on April 30th.

Though the brand expects the ‘majority’ of dealers will retain their franchises, the boss didn’t rule out cuts. However, Norman said the company will continue to have the second biggest network from 2019 onwards, meaning the brand will operate at least 200 franchises.

• Jaguar Land Rover cuts 1,000 UK jobs

According to figures from the Society of Motor Manufacturers and Traders Vauxhall has seen a 18.28 per cent fall in sales so far this year, with 54,535 cars registered by March.

Norman also said that he doesn’t expect any job losses as a result of the re-franchising: “I do not expect anyone to lose their jobs as a result of this – I do not expect there to be a reduction in retail outlets as a result of these changes. Those retailers [who lose their franchises] will take on other businesses,” he commented.

With Vauxhall and Opel now under PSA ownership, Norman also said that it would be inevitable that Vauxhall dealers would be sharing facilities with Peugeot, Citroen and DS outlets. The same re-franchising process will be going on across the whole of Europe with the aim of improving dealer profitability.

“Re-franchising is not something that doesn’t happen at regular instances within the motor industry,” said Norman. “It last happened with Vauxhall Opel in 2013.”

“Conditions are changing, competition is more ferocious and different methods of consumption, which includes online, are changing the way people buy cars.”

Norman said that a decision would be made in the third quarter of 2018 as to which dealers would be getting new contracts, with those contracts and any necessary terminations coming into effect on 30th April 2020.

For more news on Vauxhall, including the recent announcement on the future of its Luton manufacturing plant, visit our dedicated news and reviews page.

Editor-in-chief

Steve Fowler has been editor-in-chief of Auto Express since 2011 and is responsible for all editorial content across the website and magazine. He has previously edited What Car?, Autocar and What Hi-Fi? and has been writing about cars for the best part of 30 years. 

Recommended

'Once-dominant Ford and Vauxhall could become also-rans in the future'
Opinion - Ford plant
Opinion

'Once-dominant Ford and Vauxhall could become also-rans in the future'

Editor-in-chief Steve Fowler thinks Ford and Vauxhall need to get their pricing right in the EV era if they are to remain popular with customers
15 Nov 2023
All change at Stellantis: Vauxhall, Citroen, Peugeot and Fiat vans get a fresh new look
2023 Stellantis van lineup
News

All change at Stellantis: Vauxhall, Citroen, Peugeot and Fiat vans get a fresh new look

A total of 12 new models spearhead Stellantis' bid for greater commercial vehicle success
23 Oct 2023
Deal of the Day: EV vans get £2,500 off plus freebies worth over £1,150
Stellantis group electric vans
News

Deal of the Day: EV vans get £2,500 off plus freebies worth over £1,150

Electric vans from Vauxhall, Peugeot, Citroen and Fiat are our deal of the day for October 3
3 Oct 2023
Munich Motor Show 2023: news round-up and all the new cars
Auto Express Munich Motor Show 2023 guide header image
News

Munich Motor Show 2023: news round-up and all the new cars

This year's Munich Motor Show saw big reveals from BMW, Cupra, Mercedes, MINI, Renault, Tesla and Volkswagen
6 Sep 2023

Most Popular

New Renault 5: price, specs, launch and on sale dates
Renault 5 EV concept at 2022 Goodwood Festival of Speed
News

New Renault 5: price, specs, launch and on sale dates

Renault’s reborn Renault 5 will start from €25,000 in Europe, suggesting a circa-£30k price in the UK. It's due on sale in the summer of 2024. Here's …
1 Dec 2023
New BMW X3 replacement to grow in size and feature a minimalist dash
BMW Neue Klasse SUV exclusive image - front
News

New BMW X3 replacement to grow in size and feature a minimalist dash

BMW’s first Neue Klasse electric SUV could carry the iX3 nameplate and our exclusive images preview how it might look
30 Nov 2023
New 2024 Dacia Duster: third generation of Europe’s best-selling SUV revealed
Dacia Duster - front
News

New 2024 Dacia Duster: third generation of Europe’s best-selling SUV revealed

Dacia has taken the wraps off the latest Duster, which arrives with a new look and fresh technology
29 Nov 2023