Dealers warned of chaos if they don’t prepare for new MOT rules on recalls

Data experts at ADS are warning that a sudden rule change that introduces an advisory or automatic MOT failure for unresolved recalls could lead to a "nightmare scenario", overwhelming workshops and causing frustration among customers scrambling for repairs.

Based on the most recent DVSA data, more than five million cars could be affected due to franchise dealers losing contact with their customers and those failing to respond to initial recall notices. In 2021 alone, over 2.7 million cars were recalled, but fewer than 800,000 were rectified by dealers.

The previous government had planned to integrate outstanding recalls into the MOT testing criteria, and the new administration is expected to implement this change, though the timeline remains unclear.

One manufacturer has already partnered with ADS to actively address the backlog of unresolved safety recalls, helping its dealers manage the upcoming demand more smoothly.

ADS estimates that over 50% of dealer databases often contain outdated customer details and that about one in five lapsed customers are currently driving cars with unresolved safety recalls.

"Successive governments have had a poor track record on decision-making and responsible communications that avoid causing chaos for the automotive industry, so it is wise to get ahead of this problem immediately," said Jon Sheard, operations director of ADS.

"If they don't, depending on how the government chooses to implement the change, dealers could be overwhelmed by unforeseen demands for new parts and workshop time - leaving large numbers of customers potentially inconvenienced or even off the road."

A senior executive at a major franchise dealer group told ADS, "If this change happens suddenly, we'll be overwhelmed by backlog just clearing MOT failures - let alone routine servicing. But this is also an opportunity to reconnect with customers who haven't visited us in years, encouraging them to book recall repairs and servicing at the same time, which will strengthen relationships and ensure future business."

ADS pointed out that dealers can turn this looming problem into a revenue opportunity, pointing out that recall appointments typically generate an additional £309 per visit in servicing and repair work.