1. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITED SMMT, the ‘S’ symbol and the ‘Driving the motor industry’ brandline are trademarks of SMMT Ltd Driving the future: UK automotive delivering economic growth through low carbon development Paul Everitt, Chief Executive, SMMT 26 May 2011

2. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 2 New car registrations The scrappage scheme helped support volumes. Market down 8.5% to April and set to end 2011 at 1.93 million units. New car registrations, 12 month moving annual total 2008 to 2012 (Source SMMT) Market stabilised, at lower level

3. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 3 New car registrations Scrappage in place May 2009 to March 2010 (with some overhang). Represented almost 15% total sales over that period. New car registrations, 2009 to 2011, with scrappage identified (Source SMMT) Impact of scrappage scheme

4. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 4 New car registrations Scrappage scheme supported private market. Fleet volumes stable and supporting overall market. New car registrations, 12 month moving annual total 2007 to 2012 (Source SMMT) Private and fleet split ‘000s20072008200920102011 F2012F Total2,4042,1321,9952,0311,9302,012 % change2.5%-11.3%-6.4%1.8%-5.0%4.3% Private1,0468921,014958853888 % change-14.7%13.7%-5.6%-11.0%4.1% Fleet/Business1,3581,2399801,0721,0771,124 % change-8.7%-20.9%9.4%0.5%4.4%

5. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 5 Long-term commitment to UK plants Output stabilising as VMs confirm ongoing investment MINI Coupé and Roadster production confirmed. £1.5bn investment in engineering and manufacturing facilities over the next five years by Ford. £1.4bn investment at Swindon by Honda since launch in 1985. JLR to retain all three production sites, creating 1,500 new jobs. £420m investment by Nissan to make LEAF and batteries. Toyota added Auris Hybrid to its UK production. Next generation Vivaro confirmed for Vauxhall’s Luton plant.

6. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 6 Rebalancing the UK economy – products over services Priorities for growth The UK produces over one million vehicles and two million engines each year. Automotive represents over 10% of total UK exports, worth £25bn over the past five years. The UK exports over 75% of the vehicles it produces. Automotive employs over 700,000 people, contributing £8.5bn value to the UK economy. Low carbon growth through investment in R&D and technology will deliver long-term growth.

7. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 7 UK automotive – driving economic growth A strong future at the heart of the low carbon agenda Low carbon growth through investment in R&D and technology will deliver long-term growth. Supporting suppliers and reinvigorating the automotive supply chain. Attracting international investment and growing business through trade. Increasing skills to equip a new generation.

8. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 8 Automotive Council – www.automotivecouncil.co.uk Key outputs so far: Consensus Technology Roadmap – mapping the path to ultra-low carbon. Automotive Technologies: the UK’s current capabilities. Automotive Technology and Manufacturing Readiness Levels – Jan 2011. Growing the Automotive Supply Chain: The Road Forward – Mar 2011. Commercial Vehicle and Off-Highway Roadmap – Apr 2011. ‘See Inside Manufacturing’ – 29 June and 10-21 Oct 2011.

9. SOCIETY OF MOTOR MANUFACTURERS AND TRADERS LIMITEDPAGE 9 SMMT Test Day 2011 Safety Zone Electronic Stability ControlPredictive Emergency Braking Book your 30 minute demonstration at the Bosch stand