The Society of the Irish Motor Industry is in talks with the Government on ways to help stop the decline of the sector with rescue measures expected in December's Budget.It is understood that senior officials in the Department of Finance have held talks with SIMI in the past number of days and that more are scheduled next month, reports businessworld.ie. The talks follow the collapse last week of Tom Hogan Motors with the loss of around 200 jobs.
Tom Hogan Motors, which had outlets in Galway, Clare and Tipperary, was one of the biggest Toyota dealerships in the country. It began in Ennis over 30 years ago but had expanded with outlets at Ballybrit in Galway, Shannon and Clonmel, where it employed approximately 190 people. However, trading difficulties brought about by the economic downturn, which has particularly affected car sales, have now forced the company into liquidation.
The car industry has been hit hard in the economic downturn, with the latest figures from the Central Statistics Office showing new-car registrations down more than 60 per cent in May compared with a year earlier. Several dealerships have closed their doors in recent months, including one of the country's oldest BMW dealerships, Pat Keogh Ltd, based in Limerick. In January, Winfield Motors, which had garages and showrooms in Sandymount and Dun Laoghaire, and Westland Motors, in Liffey Valley, west Dublin, announced they were being wound up.
