PSA Might Close 100 Vauxhall Dealers In The UK To Reduce Costs

Ever since PSA acquired Opel/Vauxhall from General Motors last year, they have been coming up with new ideas on how to turn it around.

The SUV push certainly helped, and the development of electrified models is expected to do the same. Now, however, the French automotive giant has its eyes on Vauxhall’s dealership network in the United Kingdom.

Reuters reports that, according to a dealership group boss, PSA could cut the showrooms by a third.

“The whole UK Vauxhall network is around 300 dealerships, and that will be reduced to around 200”, said the network group CEO. “They’ve told us it’s a plan. They’re driving it. It’s a good thing to do as it keeps the sales per outlet in a good place and maintains the viability of their network.”

PSA looked into this strategy after demand in the UK for Vauxhall cars fell by 22 percent last year. The major drop was witnessed in a market that had a 5.7 percent decline overall.

However, Opel/Vauxhall’s parent company has yet to decide whether this is the right approach, said a Vauxhall spokesperson.

In the meantime, both Opel and Vauxhall are getting ready to launch the new Corsa GSi later this year. The supermini features plenty of exterior and interior updates, as well as the same suspension and brakes as the Corsa VXR.

Pricing, availability and engine details will be released in the coming months, closer to the car’s (yet unspecified) market launch.