The Walsall site was intended to replace the existing Trade Centre site in Wednesbury. Original plans said the redevelopment would create more than 100 new jobs.

https://bit.ly/3AMGoHi

£3bn M-B ‘defeat device’ claim lodged in High Court

A £3bn legal claim on behalf of 300,000 motorists was lodged in the High Court last Friday, accusing Mercedes-Benz of installing four ‘defeat devices’ in its diesel cars. If successful, it could be the biggest in British legal history.

The action against Mercedes-Benz relates to cars sold in the UK between 2009 and 2021. The premium brand says the legal action is “without merit”.

Last year, Volkswagen settled a group claim and paid £193m to more than 90,000 owners.

https://bit.ly/3naZFPT

WORLD NEWS

Carvana creditors offer debt for equity swap

Creditors holding Carvana bonds have proposed a debut-for-equity swap to reduce its debt and improve liquidity. They also may allow Carvana to pay some of its interest with additional debt in a payment-in-kind deal. This would save Carvana more than $1bn in cash interest.

It faces a $168m interest payment on bonds due in May. Its 10.25% bond due in 2030 last changed hands at around 55 cents on the dollar. Its shares are down 89% in the last year.

https://bit.ly/44jnJQY

 

Jardine owner Lithia cuts 1,000 jobs

Lithia revealed it has been “right-sizing” in Q1, eliminating around 1,000 positions in the field and right-sizing pay plans. It comes amid lower gross profits per unit on new and used vehicles. “We’re anticipating additional strength coming into Q2,” said COO Chris Holzshu.

https://bit.ly/3nnbH8z

 

Vroom cuts workforce another 11%

US online used car retailer Vroom is cutting around 120 jobs – 11% of its workforce. Earlier in the year, it cut 275 jobs. The reductions are part of a cost-cutting business plan it moved to in 2022; since January 2022, its employee and contractor count has reduced 55%.

https://bit.ly/3nq4l4a

 

 

STOCKWATCH

Closing prices on 28 April 2023 and weekly change

Inchcape Q1 shows “excellent start to 2023” says CEO Duncan Tait

Auto Trader Group 635.6p (+5.4p / +0.8%)

Caffyns 550.0p (n/c)

Halfords 210.2p (+3.0p / +1.4%)

Inchcape 808.5p (+51.0p / +6.5%)

Lookers 86.6p (-0.6p / -0.6%)

Motorpoint 135.0p (+2.5p / +1.8%)

Pendragon 17.62p (-0.06p / -0.3%)

Vertu 57.7p (+0.7p / +1.2%)

 

 

COMING UP

Wednesday, Radius Law annual conference: sign up now

Thursday, mortgage approvals

Thursday, UK consumer credit

 

 

MONEY MATTERS

Recession fears dwindle

Business leaders’ optimism about the year ahead has risen for a fifth consecutive month. The IoD economic confidence index has returned to levels recorded just before Russia’s invasion of Ukraine. Its chief economist Kitty Ussher said the results raised “hope that the economic fundamentals can continue to improve”.

Last week, a survey by Lloyds Bank showed business confidence at its highest for a year. Nearly 1 in 2 businesses are looking to recruit, the fifth consecutive month that anticipated staffing levels have increased.

https://bit.ly/3Ldh7eo

 

Is BCC the new CBI?

British Chambers of Commerce president Martha Lane Fox has argued a new organisation is not needed to take the CBI’s place – because the BCC is already busy “quietly representing British business internationally, nationally and locally”. It has 100k members and operates via a network of 53 independent chambers across the UK, which shows “the strength and vibrance of our organisation.

“Winston Churchill is supposed to have said, “Never let a good crisis go to waste.” So let’s not. Let’s support UK business and let’s do it through the brilliant organisation right in front of us.”

https://bit.ly/44fhv4M