HC Deb 16 November 1998 vol 319 cc432-3W
Mr. Redwood

To ask the Secretary of State for Trade and Industry what estimate his Department has made of the likely increase in car imports into the United Kingdom by(a) volume and (b) market share if the present restrictions on non-EU imports are lifted. [59565]

Mr. Mandelson

My right hon. Friend the Minister of Transport is currently engaged in public consultation on the future of the Single Vehicle Approval scheme under which cars which are not made to European Type Approval standards are admitted into the UK. In doing so he will take account of the views of all affected industry and consumer interests on the effect of the arrangements and the proposed changes to them, including the effect on import levels.

Mr. Redwood

To ask the Secretary of State for Trade and Industry what estimate the Government have made of the likely change in car prices to personal customers in the United Kingdom if(a) the restrictions on non-EU imports are lifted and (b) the present exclusive franchise system of distribution is scrapped. [59567]

Mr. Mandelson

As far as the changes to the Single Vehicle Approval scheme are concerned, I refer the right hon. Member to my answer of Official Report, column 433.

The system of distributing and selling new cars through franchised dealers appointed by manufacturers is common to all the world's leading car markets. The European Commission is to review its operation in 2000, and in doing so will review the benefit the consumer receives from the system. The Government supports this approach.