The ATS Euromaster group is set to close 86 UK garages – a third of its network – with 400 jobs put at risk
The major garage network blamed rising costs, poor future outlooks and a saturated aftermarket sector.
For 2023 - its latest accounts - the firm reported losses of £13.9 million, which added to £20.6m of losses in 2022.
ATS Euromaster currently has more than 235 branches UK-wide. Branches in Basingstoke, Lymington, Macclesfield and Petersfield are among a few that have already shut, but the final locations of the garages which would close has yet to be finalised.
In a statement, a spokesperson told Birmingham Live: "In a UK automotive aftermarket context of overcapacity, increasing costs and sluggish activity and growth, ATS Euromaster intends to review its current operating model and has put in place a proposal to close some non profitable service centres.”
In place of the fixed locations the company plans to launch 125 mobile technicians, in a bid to keep work but reduce overhead costs.
The spokesperson added: "We intend that it enables us to concentrate our efforts on strategic levels for sustainable development, including services around ATS mobile capabilities and the shaping of a franchise model already successfully developed in several countries."
As for the employees impacted by the proposal, ATS says they are “under consultation”, adding: “In the meantime, our priority is to provide them with the best level of support as possible.”
Halfords said it was working with ATS to throw a lifeline to staff offering job interviews to fill a skills shortage in the sector.
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