Dealers in Northern Ireland are coming under threat from post-Brexit trading rules.
The National Franchised Dealers Association’s (NFDA) Northern Ireland arm warned that the rules were reducing customer choice.
Under current rules, from January 2026, new cars registered in Northern Ireland must have “EU type approval” instead of GB type approval.
This means new vehicles approved for sale in Great Britain will not be able to be registered in Northern Ireland.
Carmakers can seek both EU, GB or “dual” approvals to sell across the entire UK, but many are not, the NFDA told Members of the Legislative Assembly (MLAs) in Stormont (pictured) last week.
The NFDA said a significant number of major brands only producing cars for Great Britain only, using ‘GB type approval.
This means that from next year, many new models will be absent from Northern Ireland forecourts, it said.
“What’s happening is nothing short of a generational challenge to our local industry, with less choice for anyone in Northern Ireland who wants access to the same range on offer in the rest of the UK.
“These rules also mean higher prices for vehicles which do manage to make it through,” said Alastair Peoples, the NFDA’s Northern Ireland spokesman.
“We have already stressed our concerns to the Secretary of State for Northern Ireland and to the Cabinet Office, as well as the Stormont economy committee nearly six months ago, with warnings that this situation was going to occur, and, as we head into next year, the issue is now critical.
“We’re a small market in relative terms to the UK and, commercially, car manufacturers are now starting to make vehicles only for their biggest market, Great Britain. Short term arrangements are now urgently needed while legislation is developed to align Northern Ireland with regulations which are already applied in Great Britain.”
The Northern Ireland motoring sector contributes more than £3 billion a year to the local economy.
Sales growth of new cars in Northern Ireland have also started showing a marked decline compared with growth Great Britain, the NFDA said.