PROFITS UP BUT LOSS AHEAD AT LOOKERS

TWO of Britain’s biggest car sellers have reported a post-lockdown jump in sales.

Dealership chain Lookers said sales and servicing had been “better than expected” in June and July.

And rival Vertu Motors said it made a record profit from selling used cars last month.

The recovery gives hope to a sector hammered by the coronavirus shutdown.

Lookers, founded in Manchester in 1908 and selling 32 makes of car, said pent-up demand and people avoiding public transport had boosted sales.

“Momentum has continued into August,” it said, ahead of next month’s all-important number plate change.

However, it came as Lookers was forced to delay publishing its annual results after expanding a probe into an accounting scandal. The company was rocked by revelations in June that it had overstated profits by £19million over a number of years.

It is now extending the scope of the investigation to its corporate leasing division and vehicle-financing arrangements.

Bosses still expect to report a profit for last year but warned that because of coronavirus it will make a big loss in the first six months of 2020.

But Vertu said profit from used vehicle sales was up 13.7 per cent last month compared with July last year. Demand post-lockdown meant that the company made a £7.4million profit in July.

“July trading continued the trends seen in June and was significantly stronger than both what we envisaged and the group’s original business plan for the month,” said chief executive Robert Forrester.