Luxury car dealer falls victim to credit crunch
The recession reaches the high-end market as Bentley dealer is forced into administration
Bentley West Country, a car dealerbased in Exeter, Devon, has ceased trading
after falling victim to the credit crunch and has gone into administration with
a fleet of about 50 high-end vehicles including Bentleys, Rolls-Royces, Aston
Martins, Ferraris, Porsches, Mercedes-Benzes and BMWs.
Joint receiver Andrew Sheridan of Baker Tilly said demand for top-end
vehicles had been falling off because of the current financial crisis.
Insolvencies among motor traders were up by 18% in the third quarter on the same
period last year, according to
The
Press Association.
‘Everyone is more than aware of the current crisis facing much of the motor
industry, but the speed of the downturn at the luxury end of the market has been
very severe,’ Sheridan said.
‘In the last three months, plummeting second-hand values of luxury cars,
combined with a drying-up of inquiries for new vehicles has caused Bentley West
Country to run out of cash.’
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