- Vauxhall is terminating contracts of all of its dealers
- Vauxhall boss Stephen Norman believes refranchising won"t cause job losses
Vauxhall and Opel brands will “terminate all dealer franchise contracts with two years of notice”, Vauxhall managing director Stephen Norman has confirmed.
During a conference call, he said notice would be given on 30 April, meaning all contracts will end on 30 April 2020.
The last time Vauxhall refranchised its dealer network was in 2013, when it trimmed its dealer network from 349 to the 326 locations contracted today.
The Vauxhall boss wouldn’t confirm how many of Vauxhall’s 93 retailers, which operate 326 retail locations in Britain, would be retained, and he denied speculation that around at third could go. “The majority of retailers who are currently with us will remain,” he said.
Norman, who has been at the helm of Vauxhall since the start of 2018, two months after parent company the PSA Group completed its buyout of the brand, said that the Vauxhall dealership network is making profit but that the decision to terminate current contracts came in an effort to boost overall profitability.