More than three quarters (77%) of the Society of Motor Manufacturers and Traders’ (SMMT) members have said remaining in the EU is best for their business, according to a survey by independent pollster ComRes.
The survey found an overwhelming support for EU membership across the board, with 88% of large SMMT member companies and 73% of SME members in favour of remaining.
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Only a minority (9%) said leaving would be best, less than the proportion who are uncertain (14% don’t know). No large companies surveyed said an exit would be in their business’ best interests.
Delving into the reasons why the EU is important to them, SMMT members said that access to EU automotive markets has a positive impact on their business (66%). This was followed by a majority saying that access to a skilled workforce (55%) and the ability to influence industry standards and regulations (52%) also have a positive impact on their business.
When asked to provide open-ended feedback, some of the key reasons given for staying in the EU included the importance of economic and market stability, securing the UK’s global competitiveness, and access to the single market’s free trade opportunities.
Looking ahead to the threat of a potential Brexit, 59% of SMMT members said it would have a negative impact on their business in the medium to long-term, with a further one in five uncertain about the nature and extent of that impact (18% don’t know). When those foreseeing a negative impact were asked why, fears included becoming uncompetitive and losing business to EU rivals, while the risk of future investment being diverted to the continent also featured highly.
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By GlobalDataMike Hawes, SMMT Chief Executive, said: "The message from UK Automotive is clear – being in Europe is vital for the future of this industry and to secure jobs, investment and growth. UK Automotive is thriving, with record car exports, new registrations and the highest manufacturing levels for a decade. Our industry supports 800,000 jobs across the UK and contributes more than £15 billion to the UK economy – our members have clearly stated that pulling out of Europe could jeopardise this."
Dr Ian Robertson, Member of the Board of Management, BMW AG, said: "As a major employer, exporter and investor, the BMW Group is committed to the UK which is home to two of our brands, MINI and Rolls-Royce Motor Cars. Our experience shows that the free movement of components, finished products and skilled workers within the EU is extremely beneficial to British-based business. We firmly believe Britain would be better off if it remained an active and influential member of the EU, shaping European regulations which will continue to impact the UK whatever the decision in June."
Tony Walker, Deputy Managing Director, Toyota Motor Manufacturing UK, commented: "Our UK operations are fully integrated within our European business – exporting nearly 90 percent of all UK built vehicles. We are very satisfied with the performance our UK operations and are committed to our employees and investments. We also recognise that the UK’s future relationship with the European Union is a matter for the British people to decide. After considered review, we believe that continued membership of the European Union is best for our business and for our competitiveness in the longer term."
ComRes interviewed 204 members of the SMMT online between 14 January and 17 February 2016.
