A group of dealers are organising to negotiate discounts with advertisers and to boycott Auto Trader after becoming “disillusioned with consistent price increases”.

A pressure group called the Motor Traders Advertising Union (MTAU) was set up by Kevin Potticary and Graham Elliott at the start of this year to negotiate discounted deals with advertising portals.

Potticary owns Avon Valley Garage; a two site used car business based in Bath and Bristol.

The MTAU claims it has over 1,000 members and believes it is now in a position of strength to negotiate discounted rates from advertisers.

Dealers have to pay a monthly £30 + VAT fee to join the MTAU in order to access the deals they negotiate.

The MTAU attempted to negotiate a deal for its members with Auto Trader for a discounted rate of £4.75 per car, but was turned down.

The pressure group has successfully negotiated discounts with rival websites.

Auto Trader has hit back at the MTAU questioning its status as a recognised industry group.

In a statement to AM, Auto Trader said: “We have engaged with the MTAU even though it is not a recognised industry group. No dealers have cancelled.” The company would not comment further.