Reuters is reporting that British car production fell 4.1 percent in September from the same month a year earlier, the fifth decline in six months that adds to signs of faltering consumer and business confidence.
Exports, accounting for 80 percent of total output, fell 1.1 percent, while domestic demand slumped 14.2 percent, according to figures from the Society of Motor Manufacturers and Traders (SMMT), pushing total production down to 153,224 cars.
Consumer confidence remains lower than before Prime Minister Theresa May lost her parliamentary majority during a June snap election and has fallen since Britain voted to leave the EU last year, although it has inched up in recent months.
British new car sales are expected to fall this year by around 4 percent from 2016’s record 2.69 million vehicles, also hit by uncertainty over whether the government will introduce a diesel scrappage scheme or new taxes on the most polluting cars.
Britain’s overwhelmingly foreign-owned car sector, dominated by Indian-owned Jaguar Land Rover and Japan’s Nissan, is worried Brexit will add tariffs and customs checks to its exports, risking the viability of plants.
Note: This article originally in part or total via Reuters News Network.