The All-New MG HS SUV

MG has just released an exclusive preview of the all-new HS SUV. This is ahead of the car’s global debut at the Goodwood Festival of Speed on Thursday, 11th July.

Replacing the current model, which has been extremely successful for MG, the all-new HS is said to offer a contemporary, sophisticated design and an interior with enhanced space and an array of new, driver-focussed technology.

There will be two powertrain choices – petrol and plug-in hybrid (PHEV) – with the Plug-in Hybrid variant promising to offer an unmatched all-electric range for the class.

It looks great and I can’t wait to see what happens on 11th July.

The Collapse of Cazoo

Cazoo had all the potential to be a huge success and to change the car buying process for millions. Founded in 2018 by Alex Chesterman, who also started LoveFilm and Zoopla, Cazoo aimed to make buying a used car as easy as any other online purchase. Despite early success, the company recently entered administration.

What happened at Cazoo and why did something so promising end up in its current situation?

Initial Success and Rapid Growth of Cazoo

Cazoo grew quickly, heavily investing in marketing and expanding into Europe. Their goal was to streamline the car buying process, allowing customers to purchase, finance, or lease a car entirely online, with home delivery. This model gained significant traction during the COVID-19 pandemic when traditional car buying was disrupted, and the convenience of online purchases became highly attractive.

Financial Challenges and Strategic Errors

Despite its outward success, Cazoo had financial problems behind the scenes. Their aggressive growth led to high expenses, especially in marketing and sponsorships. The business model required substantial capital for inventory and logistics, which became increasingly difficult for the company to afford. The used car market is known to be very complex, with high overhead and logistical costs, and Cazoo struggled to manage these.

Consumer Preferences and Market Dynamics

Cazoo’s model was based on the assumption that consumers would be comfortable buying used cars online without a test drive. However, many buyers still prefer to see and test the car in person before making a decision. The economic environment, including rising inflation and interest rates, also affected consumer confidence and spending, putting even more strain on Cazoo.

Operational and Financial Strain

By March 2023, the company faced substantial financial difficulties, missing a $5.3 million (approximately £4.2 million) interest payment and failing to file its accounts on time, which led to a non-compliance notice from the New York Stock Exchange. The company looked for additional funding and explored selling parts of its business, but these efforts were unsuccessful. The board ultimately decided to cease operations, leading to the company entering administration and approximately 200 job losses.

There were once around 700 people employed by Cazoo, however, the majority of these were made redundant in March when the company remodelled from a dealer into a marketplace where customers bought and sold cars.

Competitive Landscape and Market Adaptation

Competition in the used car market also contributed to Cazoo’s challenges. Traditional dealerships and other online car retailers enhanced their digital offerings, making it difficult for the business to sustain its market share. Established dealerships, which offer both online and in-person services, provided a more flexible and resilient model compared to Cazoo’s online-only approach.

The End of Cazoo

Cazoo is/was a company of high ambitions and significant challenges. Their attempt to revolutionise the used car market with an online-only strategy faced numerous issues. High operational costs, rapid growth, fluctuating market conditions, and stiff competition overshadowed their initial success. While the idea of simplifying car purchases online was innovative, the practical challenges of the used car market proved insurmountable (at least on this occasion).

60 Years At Ellesmere Port For Vauxhall

This month marks 60 years of production at the Ellesmere Port plant for Vauxhall.

The Ellesmere Port facility, built in 1962 and operational by June 1964, initially produced the Vauxhall Viva. Over the years, it became home to recognisable models like the Vauxhall Chevette and, since 1980, has been the birthplace of seven generations of the hugely popular Vauxhall Astra. Since it first became operational, the plant has produced over a million Vivas, a quarter of a million Chevettes, and more than 4.1 million Astras.

Today, the Ellesmere Port plant is a key part of the UK’s electric vehicle (EV) production. Following a £100 million investment, it became the country’s first EV-only volume manufacturing facility, aligning with the current owners of Vauxhall, Stellantis, Dare Forward 2030 commitment to carbon neutrality by 2038.

Back in 1970, the Ellesmere Port site spanned over 350,000 square meters. Through several significant upgrades—including a new battery assembly shop, enhanced General Assembly, and a relocated bodyshop—the plant now covers 118,000 square meters. These changes have led to a 60% reduction in total site area, boosting both energy efficiency and productivity.

The transition to EV production at Ellesmere Port continues Vauxhall’s tradition of UK vehicle manufacturing, which began at the Luton plant in 1905, following its initial operations in London since 1903. Starting next year, Luton will also be producing medium electric vans for Vauxhall, Opel, Citroën, Peugeot, and Fiat Professional.

Celebrating the 60th anniversary were plant staff and local dignitaries, including Keith Tabiner, who was part of the production team in 1964 when the first Vauxhall Viva was made. Remarkably, his three sons—Mark, Mike, and Phil—are also part of the current workforce, contributing to a combined 152 years of family service at the plant. This reflects the deep loyalty, dedication, and long service of many employees over the decades.

Keith Tabiner said: “Having witnessed the first Vauxhall Viva roll of the production line in 1964, and worked at Ellesmere Port for a total of 40 years, it’s a pleasure to be back and see the plant going from strength to strength making the electric vehicles of the future. I’ve always driven Vauxhalls and with three of my sons following in my footsteps and working at the plant today, everything we have is thanks to Ellesmere Port.”

Diane Miller, Ellesmere Port Plant Director, said: “We are excited to mark such an impressive milestone, celebrating production that began sixty years ago with the Viva, and now continues into the future with electric vans from Fiat, Citroën, Peugeot, Opel and Vauxhall. For six decades, Ellesmere Port has been a central pillar of the local area, and whose people have continually taken great pride in their work at the plant to provide millions of vehicles for the UK and beyond and now continue to do so in the transition to a more sustainable future.”

Maria Grazia Davino, Group Managing Director, Stellantis UK, remarked: “It is gratifying to celebrate six decades of vehicle production at Ellesmere Port, which continues to produce the latest generation of electric vans. Stellantis is the only OEM producing vans, including electric vans, in volume in the UK, and I would like to share my congratulations to the employees at the plant, who continue to work incredibly hard to produce the vehicles that will help to electrify businesses across the UK and in the more than 20 countries to which we export electric vans.”

Caterham Relocates To New Global HQ

Caterham has announced its new factory has opened.

Still located in Dartford, Kent, the new state-of-the-art building will be home to Caterham’s production, engineering, motorsport and commercial teams.

A multi-million-pound investment from owners VT Holdings – one of Japan’s largest retailer groups – will see Caterham increase its production capacity by 50%, to 750 units annually.

The 54,000 sq ft facility is situated in a brand new nine-acre industrial park development called Dartford X. It is within close proximity to the existing factory, enabling the retention of the skilled workforce who are responsible for hand assembling all cars.

Following a nine-month fit-out and transformation, the new building now features the very latest paint booths, an engine shop, a parts warehouse and 33 individual bays, where each car builder is responsible for the complete build of a Seven. The additional floor space and layout will enable the business to operate in a more streamlined and efficient manner.

Now the new HQ is open, Caterham enthusiasts can book a factory tour of the new facility. The brand also plans to offer a range of other customer experiences including events and vehicle handovers.

Mr Kazuho Takahashi, CEO, VT Holdings, said: “We are thrilled to announce the start of operations at the new Caterham factory. This modern facility exemplifies VT Holdings’ unwavering dedication and support for the iconic British sports car brand, Caterham. From this new location, we will continue to take pride in delivering increasingly high-quality vehicles to our customers worldwide.”

Bob Laishley, CEO of Caterham, said: “Moving into our new global headquarters is a significant moment in our brand’s history and will be transformational for the business and the future of the Seven.

“Not only will we be able to increase our production capacity by 50%, but for the first time in our 50-year history the production, engineering, motorsport, and commercial teams will all be housed under one roof. It will make us a more efficient, streamlined business.

“Caterham fans and customers will also be able to see first-hand where our cars are assembled. It’s a hugely impressive modern facility and I have no doubt they’ll be blown away by it. I certainly am and I know our staff are thrilled to be operating in such a world-class facility.”