By Scott Wright

BRIAN Gilda, the Scottish motor industry stalwart, has warned the price of cars will soar if the UK leaves the EU without a Brexit deal.

Mr Gilda, who founded the Peoples’ Ford dealership 37 years ago, declared the industry would be “facing the dark side of the moon” if the relationship between the UK and its biggest trading partner reverts to World Trading Organisation (WTO) rules after December 31.

His comments came as new accounts for Peoples, filed at Companies House today, show that profits fell by more than one-third in the year to July 30, amid the fall-out from coronavirus.

Peoples’ six dealerships were locked down in March under measures to suppress the first wave of the pandemic, which resulted in most of the company’s 385 employees being placed on furlough. The dealerships reopened in May, with workshops commencing operations first before sales departments. Three posts were made redundant and three people remain on furlough.

Profit before tax and preference share dividends dipped to £3.014 million from £4.55m, on turnover down to £242.29m from £277.4m, the accounts show.

Mr Gilda said: “You can be assured I am delighted with these results notwithstanding the 12.6 per cent diminution in turnover and 33.8% diminution in profits from last year’s results.”

He added: “My delight is as a consequence of coming through the lockdown with a plan which re-opened our dealerships both in Scotland and England under government guidelines which protects our customers and keeps our staff both safe and motivated to deliver the best possible results for themselves and the company.

“Therefore, the real story is to be found in the determination of my directors, management and staff to once more deliver up these results in the face of the pandemic, fierce competition and diminishing volumes in certain sections of the market. That, coupled with the outstanding loyalty of our customers, is what makes these results special.”

The entrepreneur warned WTO rules would add 10 per cent of the cost of a car, adding that Brexit has already dented consumer confidence.

Mr Gilda said: “Without a deal, the industry would be facing the dark side of the moon by having to adhere to World Trade Organisation rules imposing tariffs which could add 10% to the cost of a vehicle. A deal has to be reached because it is vital for the health of our industry which employs thousands of people in manufacturing, sales and support.”

On the unfolding political tension  in the north-west of England, stemming from rising Covid infection rates, Mr Gilda said: “We’re not affected at present. If there were a return to the type of full lockdown imposed earlier in the year that would have some impact if it affected free movement.

“However, during that period we were still able to operate very effectively online and remotely, and with the experience gained throughout those months I’m confident we would continue to trade effectively.”