Overview

• Vertu Motors expects pre-tax profits for the year ending February 28, 2025, to fall significantly below the £34.5 million forecast by analysts.
• The zero-emission vehicle (ZEV) mandate, requiring 28% of new car sales to be electric in 2025, has led to market disruptions and steep discounting by manufacturers.
• The company is cutting costs by closing showrooms on Sundays, merging its brands under the Vertu name, and reducing its workforce through natural attrition.
• Budget measures, including increased national insurance contributions and minimum wage hikes, are expected to raise Vertu's labor costs by £10 million in the next financial year.
• Industry-wide concerns persist over the ZEV mandate's aggressive targets, with calls for government and industry collaboration to address market challenges and support economic growth.