In times of struggle, the British buy cars

It's not a rational response to economic hardship, but it is a British one.

The UK car industry has in the past been associated with British Leyland’s unreliability, emptying factory floors and rusting scrap yards. It is now the most unlikely, but welcome, source of continuous good news in the post-2008 economy.

As the recession trudges on it’s become an accepted wisdom that consumers will not spend on luxuries, they will avoid large expense and they are not confident enough to invest in long term products. It seems a stretch to imagine that in a recession the car industry would remain buoyant; surely, it’s pure fantasy to say that it would do well?

There were early signs that the car industry held hope for consumers, GDP-watchers and policy makers alike. When the Labour government launched a car scrappage scheme in March 2009 car sales increased beyond expectations. Up to 400,000 cars, each around 27 per cent more efficient than its scrapped counterpart, were sold as a result of the scheme. The policy will go down in records as one of the most successful of the stimulus policies following the 2008 crash.

When that stimulus was taken away wouldn’t the car industry, which was already in decline before the crash, lose business? Maybe in the short term, but in the long term the good news has continued. Foreign companies have chosen to invest in production at plants in Sunderland, Ellesmere Port and Halewood. The first quarter of 2012 became the first time since 1976 that motor exports exceeded motor imports. With models like the Land Rover Freelander, the Vauxhall Astra and the Nissan Qashqai now built in the UK, the car manufacturing industry is now among the most viable and important in the UK.

British people aren’t buying cars in the middle of a recession, are they? Yes. They really are. In the year from July 2011 to July 2012, new car sales increased by 10.5 per cent even as we slipped back into recession. With their much welcomed GDP boosting powers this increase does not look like it is stopping.

On 1st September, when the new “62” registration plate is released, over 165,000 new cars will make their way from forecourts to the UK’s roads. This week Vertu Motors, a top ten UK motor retailer, released research which estimates that these sales will be worth in the region of £500m to the treasury in VAT alone, and an additional £20m in road tax.

Boosts in sales are not only good for the UK’s GDP, but for the budget too. New models are more carbon efficient than ever before, passing on benefits to consumers and relative improvements for the environment too.

In trying times, when all that we are given are negative stories and confidence is low, we can find a surprising and much needed boost for UK consumers and manufacturers in high cost luxury goods.

In times of struggle, the British buy cars. Go figure.

Cars pile up in a scrapyard as they're replaced with newer models. Photograph: Getty Images

Helen Robb reads PPE at Oxford University where she is deputy editor of ISIS magazine.

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You may call me a monster – but I'm glad that girl's lemonade stall got shut down

What's wrong with hard-working public servants enforcing perfectly sensible regulations?

Who could fail to be moved by the widely shared tears of a five year old whose innocent lemonade stall was brutally shut down by evil bureaucrats? What sort of monster would not have their heartstrings tugged by the plaintive “I've done a bad thing” from a girl whose father tells us she “just wanted to put a smile on people's faces”?

Well me, actually.

There are half a million cases of food poisoning each year in the UK, and one of the reasons we have stringent controls on who can sell food and drink, especially in unsealed containers, is to try to cut those figures down. And street stalls in general are regulated because we have a system of taxation, rights and responsibilities in this country which underpins our functioning society. Regulation is a social and economic good.

It’s also pretty unfair to criticise the hard-working public servants who acted in this case for doing the job they are no doubt underpaid to do. For the council to say “we expect our enforcement officers to show common sense” as they cancelled the fine is all very well, but I’m willing to bet they are given precious little leeway in their training when it comes to who gets fined and who doesn’t. If the council is handing out apologies, it likely should be issuing one to its officers as well.

“But these are decent folk being persecuted by a nanny state,” I hear you cry. And I stand impervious, I’m afraid. Because I’ve heard that line a lot recently and it’s beginning to grate.

It’s the same argument used against speed cameras and parking fines. How often have you heard those caught out proclaim themselves as “law-abiding citizens” and bemoan the infringement of their freedom? I have news for you: if you break the speed limit, or park illegally, or indeed break health and safety or trading regulations, you are not a law-abiding citizen. You’re actually the one who’s in the wrong.

And rarely is ignorance an excuse. Speed limits and parking regulations are posted clearly. In the case of the now famous lemonade stand, the father in question is even quoted as saying “I thought that they would just tell us to pack up and go home.” So he knew he was breaking the rules. He just didn’t think the consequences should apply to him.

A culture of entitlement, and a belief that rules are for other people but not us, is a disease gripping middle Britain. It is demonstrated in many different ways, from the driver telling the cyclist that she has no right to be on the road because she doesn’t pay road tax (I know), to the father holding up his daughter’s tears to get out of a fine.

I know, I’m a monster. But hooray for the enforcers, I say.

Duncan Hothersall is the editor of Labour Hame