SMEs operating in the transport industry are demonstrating resilience to the uncertainty in the UK economy, according to Hampshire Trust Bank's latest SME Growth Watch Report. The research found nearly a quarter (24pct) of smaller firms in the transport and distribution sector have plans to expand in the next 12 months. This corresponds to the trends which Hampshire Trust Bank reports it is seeing in its day-to-day business.
Jon Maycock, Managing Director of Asset Finance at Hampshire Trust Bank, said, “New car registration data shows electric plug-in cars recorded strong year-on-year growth. Brokers and their SME clients need to consider the type of car they are investing in to ensure they stay ahead of changes to transport legislation. For example, the Government plans to end the sale of petrol and diesel cars from 2040, meaning the existing infrastructure network will be increasing adapted to support the new technology. Firms should think now how they can start to adapt their businesses to ensure they have invested wisely in their vehicle needs for the future.”
Jon went on, "The transport sector is changing at its fastest pace in decades. With driverless cars and trucks making the headlines in the past year, we can expect to hear how technological changes will transform the way businesses operate in 2018.
"The reality is that larger companies are increasingly adapting this technology to provide themselves with a competitive advantage and we believe brokers have a vital role to play in helping to advise SME clients about the type of investment they should make into new vehicles to ensure they are not left behind...Brokers can support their SME clients by helping them to consider how they plan to finance expansion in the near and long term to ensure they retain a competitive edge in a fast-changing industry."