Continued drop in bodywork volume
Volumes of work going through bodyshops have dropped for the third year in a row.
A survey carried out by the ABP Club (Auto Body Professionals Club) website in April 2009 found 81% of respondents reporting a decrease in the volume of work in the first quarter of 2009, compared to the same period last year.
The Club said this reflects a continued fall in volume over the past three years. In 2008 63% of bodyshops said they had experienced a fall in work volumes in the first quarter of 2008, similar to the 62% reporting a decrease in quarter one 2007.
However the number of respondents who claimed an increase in work volumes in quarter one 2009 has dropped to just 11%, from 20% in 2008 and 22% in 2007.
Mark Bull, ABP Club Director, said: "Whatever the reason, the fact is that less accident repair work is being undertaken.
"Compound this with a reduction in average repair time, reducing parts margins and rising operating costs, it presents a clear picture that UK bodyshops are facing financially challenging times."
According to ABP, the decline in work may be attributed to increased levels of total losses due to falling used car values and high excesses and a reduction in traffic levels.
Work volumes are unchanged for 8% of this years respondents, compared to 18% last year and 15% in 2007.