A PwC automotive expert is forecasting that the British car industry could continue to enjoy its renaissance for at least another five years.
Phil Harrold, a partner at PwC’s Automotive practice, commented after the firm’s auto analyst arm, Autofacts, predicted global production figures would top 83.19 million in 2013 up from 79.1 million this year.
He said that even though the EU landscape was still struggling against the tough economic headwinds of the financial downturn, the UK should still have reason to be optimistic.
Harrold said: “The recent investments into British car production should secure the renaissance for at least five years. By then, I would expect to see an enhanced skills base and workforce which together with our established R&D capabilities and supply chain strength, should ensure our success continues. However, as we have seen from the last five years of recession - nothing in business and the economy are certain.”
In the UK, recent statistics have shown that there has been a 12.1% (151,250) rise in new UK car registrations in October as the new Toyota Auris rolled off the production line in Derby. In total, the new car market has increased by 5% over the year to date with more than 1.7m cars sold - nearly 84,000 more than a year ago.
Harrold added: "British engineering and car manufacturing does have a bright future. With investments by GM, BMW and Nissan in their UK production plants, and now Toyota, this shows the world is backing the UK as a base for automotive manufacturing.
"This is an interesting contrast with Japan, where the strength of the Yen will potentially force the Japanese car makers to consider further relocation of production capacity. In addition Japanese car manufacturers are seeing big reductions in volumes in what has traditionally been one of their biggest growth markets."