Britain’s car dealerships reopened this week under strict social distancing rules so they can cope if crowds of buyers descend upon showrooms.
If the first few days of business in St Albans are anything to go by, those concerns are looking misplaced.
A handful of customers were browsing forecourts in the city north of London on Wednesday morning. Evans Halshaw Vauxhall was dealing with a customer visiting the showroom on their first trip out after weeks of self-isolation. At a Honda Motor dealer, a couple were paying for a Jazz hybrid hatchback they’d decided to buy before the lockdown. Elsewhere, salespeople were waiting at their desks for buyers to show up. There was no risk of anyone being turned away to enforce distancing rules.
It’s a far cry from China, where dealerships were swamped with visitors after restrictions on movement were eased. Sales there have already returned to the same level as late last year, helped by government measures to stimulate the market.
British sales are set to grow this month, if only to satisfy the pent-up demand accumulated over two months of national lockdown. Fewer cars were sold in April than at any time since the Second World War and demand last month was still around one 10th of the level a year earlier.
Yet it’ll be tough for the UK car market to match China’s V-shaped recovery. Millions of jobs are at risk in an unprecedented economic slump, and many people have eaten into their savings as incomes fell. So consumers are less likely to load up on credit for a new car. That points to hefty price cuts to shift inventory that could hammer the profits of manufacturers.
“For those in a position to buy, dealership discounts and special offers are likely to be widely available, providing consumers with an incentive to purchase now,” said James Fairclough, chief executive of AA Cars.
Pendragon, one of the country’s biggest car dealers, said it’s had an encouraging start to the week with a mix of customers either looking at new and used vehicles or picking up cars they’d put down deposits for before the lockdown began.
“It is too early to predict how sales will fair coming out of this unprecedented situation, but the demand is out there,” said chief marketing officer Kim Costello in an email. “Many customers we speak with are eager to purchase a vehicle as a safer alternative to public transportation.”
Job Lost
There are questions over whether normal business will resume even when the economy recovers. Car-sharing has begun to challenge private vehicle ownership. And a sharp drop in air and noise pollution during the lockdown has boosted campaigns to discourage car use.
Some dealers are bringing back sales staff only gradually, both to gauge demand and to ensure their social distancing measures are enforceable. Some will never return: Lookers, one of Britain’s biggest car dealer networks, said on Thursday it’s cutting about 1,500 jobs and closing 12 sites, as trading resumes “at lower than normal capacity levels.”
What happens at dealerships in coming weeks will have big implications for manufacturers from Nissan Motor to Tata Motors’ Jaguar Land Rover. They were forced to shutter factories for weeks during the height of the pandemic, and are starting to manufacture small numbers of vehicles that will need a home. British carmakers Aston Martin Lagonda Global Holdings and McLaren Group are now cutting jobs to cope with the fall in demand for their premium cars.
Test Drives
Measures to stop the spread of coronavirus are making selling cars a more cumbersome process. Customers are often asked to make appointments before showing up. Visitors must follow one-way signs around showrooms and perspex screens separate customers from sales staff.
On the upside, buyers get to enjoy a test drive alone. At the Vauxhall dealership in St Albans, owned by Pendragon, the customer is monitored via dashboard cameras and the dealer gets a notification if they go off a pre-approved test route.
Ford Motor Company said it will require pre-authorisation on the credit cards of prospective buyers and ask them to leave the keys to their old car before they head out for a test drive.
With more car sales now happening online, the absence of big crowds at retail outlets doesn’t tell the whole story. And with the government encouraging people to return to work without using mass transit, some commuters may be tempted to buy their first car.
A South African couple living in St Albans plan to take delivery of a car from Evans Halshaw Vauxhall this week as a way to avoid public transport, said the branch’s head of business, who asked not to be identified.
Many of the new car buyers in China were also looking for a way to get around while staying off buses and trains. There are reasons why Britain might not follow the same pattern.
“I can’t see masses of people suddenly jumping from the trains, trams and buses into cars to go to work, especially since issues of parking and traffic jams are being made worse by social distancing measures and the reductions in the width of roads,” said Tim Urquhart, principal automotive analyst at IHS Markit.
ADCC AFC Women’s Champions League Group A fixtures
October 3: v Wuhan Jiangda Women’s FC
October 6: v Hyundai Steel Red Angels Women’s FC
October 9: v Sabah FA
RESULT
Al Hilal 4 Persepolis 0
Khribin (31', 54', 89'), Al Shahrani 40'
Red card: Otayf (Al Hilal, 49')
Milestones on the road to union
1970
October 26: Bahrain withdraws from a proposal to create a federation of nine with the seven Trucial States and Qatar.
December: Ahmed Al Suwaidi visits New York to discuss potential UN membership.
1971
March 1: Alex Douglas Hume, Conservative foreign secretary confirms that Britain will leave the Gulf and “strongly supports” the creation of a Union of Arab Emirates.
July 12: Historic meeting at which Sheikh Zayed and Sheikh Rashid make a binding agreement to create what will become the UAE.
July 18: It is announced that the UAE will be formed from six emirates, with a proposed constitution signed. RAK is not yet part of the agreement.
August 6: The fifth anniversary of Sheikh Zayed becoming Ruler of Abu Dhabi, with official celebrations deferred until later in the year.
August 15: Bahrain becomes independent.
September 3: Qatar becomes independent.
November 23-25: Meeting with Sheikh Zayed and Sheikh Rashid and senior British officials to fix December 2 as date of creation of the UAE.
November 29: At 5.30pm Iranian forces seize the Greater and Lesser Tunbs by force.
November 30: Despite a power sharing agreement, Tehran takes full control of Abu Musa.
November 31: UK officials visit all six participating Emirates to formally end the Trucial States treaties
December 2: 11am, Dubai. New Supreme Council formally elects Sheikh Zayed as President. Treaty of Friendship signed with the UK. 11.30am. Flag raising ceremony at Union House and Al Manhal Palace in Abu Dhabi witnessed by Sheikh Khalifa, then Crown Prince of Abu Dhabi.
December 6: Arab League formally admits the UAE. The first British Ambassador presents his credentials to Sheikh Zayed.
December 9: UAE joins the United Nations.
Key facilities
- Olympic-size swimming pool with a split bulkhead for multi-use configurations, including water polo and 50m/25m training lanes
- Premier League-standard football pitch
- 400m Olympic running track
- NBA-spec basketball court with auditorium
- 600-seat auditorium
- Spaces for historical and cultural exploration
- An elevated football field that doubles as a helipad
- Specialist robotics and science laboratories
- AR and VR-enabled learning centres
- Disruption Lab and Research Centre for developing entrepreneurial skills
Living in...
This article is part of a guide on where to live in the UAE. Our reporters will profile some of the country’s most desirable districts, provide an estimate of rental prices and introduce you to some of the residents who call each area home.
Opening Rugby Championship fixtures: Games can be watched on OSN Sports
Saturday: Australia v New Zealand, Sydney, 1pm (UAE)
Sunday: South Africa v Argentina, Port Elizabeth, 11pm (UAE)
APPLE IPAD MINI (A17 PRO)
Display: 21cm Liquid Retina Display, 2266 x 1488, 326ppi, 500 nits
Chip: Apple A17 Pro, 6-core CPU, 5-core GPU, 16-core Neural Engine
Storage: 128/256/512GB
Main camera: 12MP wide, f/1.8, digital zoom up to 5x, Smart HDR 4
Front camera: 12MP ultra-wide, f/2.4, Smart HDR 4, full-HD @ 25/30/60fps
Biometrics: Touch ID, Face ID
Colours: Blue, purple, space grey, starlight
In the box: iPad mini, USB-C cable, 20W USB-C power adapter
Price: From Dh2,099
Which honey takes your fancy?
Al Ghaf Honey
The Al Ghaf tree is a local desert tree which bears the harsh summers with drought and high temperatures. From the rich flowers, bees that pollinate this tree can produce delicious red colour honey in June and July each year
Sidr Honey
The Sidr tree is an evergreen tree with long and strong forked branches. The blossom from this tree is called Yabyab, which provides rich food for bees to produce honey in October and November. This honey is the most expensive, but tastiest
Samar Honey
The Samar tree trunk, leaves and blossom contains Barm which is the secret of healing. You can enjoy the best types of honey from this tree every year in May and June. It is an historical witness to the life of the Emirati nation which represents the harsh desert and mountain environments
PAKISTAN SQUAD
Abid Ali, Fakhar Zaman, Imam-ul-Haq, Shan Masood, Azhar Ali (test captain), Babar Azam (T20 captain), Asad Shafiq, Fawad Alam, Haider Ali, Iftikhar Ahmad, Khushdil Shah, Mohammad Hafeez, Shoaib Malik, Mohammad Rizwan (wicketkeeper), Sarfaraz Ahmed (wicketkeeper), Faheem Ashraf, Haris Rauf, Imran Khan, Mohammad Abbas, Mohammad Hasnain, Naseem Shah, Shaheen Afridi, Sohail Khan, Usman Shinwari, Wahab Riaz, Imad Wasim, Kashif Bhatti, Shadab Khan and Yasir Shah.
PREMIER LEAGUE FIXTURES
Saturday (UAE kick-off times)
Watford v Leicester City (3.30pm)
Brighton v Arsenal (6pm)
West Ham v Wolves (8.30pm)
Bournemouth v Crystal Palace (10.45pm)
Sunday
Newcastle United v Sheffield United (5pm)
Aston Villa v Chelsea (7.15pm)
Everton v Liverpool (10pm)
Monday
Manchester City v Burnley (11pm)
THE BIO
Favourite book: ‘Purpose Driven Life’ by Rick Warren
Favourite travel destination: Switzerland
Hobbies: Travelling and following motivational speeches and speakers
Favourite place in UAE: Dubai Museum
Mia Man’s tips for fermentation
- Start with a simple recipe such as yogurt or sauerkraut
- Keep your hands and kitchen tools clean. Sanitize knives, cutting boards, tongs and storage jars with boiling water before you start.
- Mold is bad: the colour pink is a sign of mold. If yogurt turns pink as it ferments, you need to discard it and start again. For kraut, if you remove the top leaves and see any sign of mold, you should discard the batch.
- Always use clean, closed, airtight lids and containers such as mason jars when fermenting yogurt and kraut. Keep the lid closed to prevent insects and contaminants from getting in.
The Bio
Hometown: Bogota, Colombia
Favourite place to relax in UAE: the desert around Al Mleiha in Sharjah or the eastern mangroves in Abu Dhabi
The one book everyone should read: 100 Years of Solitude by Gabriel Garcia Marquez. It will make your mind fly
Favourite documentary: Chasing Coral by Jeff Orlowski. It's a good reality check about one of the most valued ecosystems for humanity
Cricket World Cup League 2
UAE squad
Rahul Chopra (captain), Aayan Afzal Khan, Ali Naseer, Aryansh Sharma, Basil Hameed, Dhruv Parashar, Junaid Siddique, Muhammad Farooq, Muhammad Jawadullah, Muhammad Waseem, Omid Rahman, Rahul Bhatia, Tanish Suri, Vishnu Sukumaran, Vriitya Aravind
Fixtures
Friday, November 1 – Oman v UAE
Sunday, November 3 – UAE v Netherlands
Thursday, November 7 – UAE v Oman
Saturday, November 9 – Netherlands v UAE
ESSENTIALS
The flights
Emirates flies from Dubai to Phnom Penh via Yangon from Dh2,700 return including taxes. Cambodia Bayon Airlines and Cambodia Angkor Air offer return flights from Phnom Penh to Siem Reap from Dh250 return including taxes. The flight takes about 45 minutes.
The hotels
Rooms at the Raffles Le Royal in Phnom Penh cost from $225 (Dh826) per night including taxes. Rooms at the Grand Hotel d'Angkor cost from $261 (Dh960) per night including taxes.
The tours
A cyclo architecture tour of Phnom Penh costs from $20 (Dh75) per person for about three hours, with Khmer Architecture Tours. Tailor-made tours of all of Cambodia, or sites like Angkor alone, can be arranged by About Asia Travel. Emirates Holidays also offers packages.
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Fund-raising tips for start-ups
Develop an innovative business concept
Have the ability to differentiate yourself from competitors
Put in place a business continuity plan after Covid-19
Prepare for the worst-case scenario (further lockdowns, long wait for a vaccine, etc.)
Have enough cash to stay afloat for the next 12 to 18 months
Be creative and innovative to reduce expenses
Be prepared to use Covid-19 as an opportunity for your business
* Tips from Jassim Al Marzooqi and Walid Hanna
Difference between fractional ownership and timeshare
Although similar in its appearance, the concept of a fractional title deed is unlike that of a timeshare, which usually involves multiple investors buying “time” in a property whereby the owner has the right to occupation for a specified period of time in any year, as opposed to the actual real estate, said John Peacock, Head of Indirect Tax and Conveyancing, BSA Ahmad Bin Hezeem & Associates, a law firm.
England-South Africa Test series
1st Test England win by 211 runs at Lord's, London
2nd Test South Africa win by 340 runs at Trent Bridge, Nottingham
3rd Test July 27-31 at The Oval, London
4th Test August 4-8 at Old Trafford, Manchester