Oct 15: Decline predicted before Budget; Zenos new E10; 8 Gordini could be produced; Real Living Wage increase

UK economy predicted to decline ahead of Budget The UK economy is forecast to have shrunk in August on the back of a decline in the services sector, according to experts. The Office for National Statistics will unveil the latest monthly UK economic growth data on Thursday. Economists have said the economy is likely to have contracted in August in a ‘correction’, after stronger-than-expected showings in June and July. In June, the UK economy grew 0.3% as hospitality and leisure firms received a boost from football fever and prolonged hot weather. Zenos E10 returns with ‘nose-to-tail’ revisions Zenos has announced its return to motoring with a new version of its E10 sports car (pictured above). The British sports car manufacturer originally launched back in 2012 but folded into administration five years later, having sold a small number of original E10s. Now, however, the lightweight model has returned and has an altogether more performance-focused approach. Renault could put retro 8 Gordini into production Renault has hinted it could put the jaw-dropping 8 Gordini concept car into production as a follow-up to its R5 Turbo 3E. The 8 Gordini was one of the stars of this week’s Paris Motor Show, and while Renault told the Press Association that it has no plans to bring back the Gordini name as a standalone brand, the concept car on display at the show could go into production. The concept uses the boxy four-door Renault 8 Gordini of the 1960s as inspiration, but reimagines it as a dramatic electric two-door coupe. The markets The FTSE 100 ended higher on Wednesday, despite strong US inflation data, as the Bank of England’s chief economist played down fears of multiple interest rate rises in the UK. In London, the FTSE 100 Index ended up 74.53 points, 0.7%, at 10,724.86. The FTSE 250 climbed 21.58 points, 0.1%, to 24,360.77, but the AIM all-share fell 3.25 points, 0.4%, to 767.91. Bank of England chief economist Huw Pill, who has consistently supported more monetary tightening this year, expressed scepticism on Wednesday about market expectations for four interest rate increases totalling 100 basis points, Bloomberg reported. Yesterday on Car Dealer Motorway launches AI WhatsApp assistant to help dealers find used car stock Motorway has launched an AI-powered WhatsApp assistant called Oto, allowing dealers to search for used car stock, receive matching vehicle listings and get alerts when suitable cars become available. Lithia UK profits almost treble to £60m as dealer group hails turnaround in performance Lithia UK’s pre-tax profits jumped 176% to £60m in 2025, despite falling revenues, as the American-owned dealer group benefited from cost savings and improved performance following its acquisitions of Pendragon and Jardine Motors. The UK’s electric car ZEV Mandate ‘has to be adapted’ – Renault Group boss Renault Group CEO François Provost has urged the UK government to relax its electric car sales targets, warning that the current ZEV mandate is unrealistic and needs to reflect consumer demand. Vertu Motors lifts profit forecast after record turnover in first half of the year Vertu Motors has upgraded its full-year profit forecast after adjusted pre-tax profits rose 19% to £23.8m and first-half revenues reached a record £2.6bn, supported by cost controls and expansion into Chinese car brands. Painful restructuring leads to profits surge at Eden Automotive Group Eden Automotive Group has returned to a £4.3m pre-tax profit after losing £154,000 the previous year, following a painful restructuring programme involving dealership closures, job cuts and tighter cost controls. New Morgan dealership opens with cutting edge floor made from 1.6m plastic staws A new Morgan dealership has opened in Surrey with an innovative showroom floor made using recycled plastic equivalent to 1.6 million drinking straws, following the conversion of a former agricultural building. Renault’s UK finance arm plunges to £110m loss as car finance scandal bill hits £219m Renault’s UK finance business has swung from an £8.7m profit to a £110.4m pre-tax loss after setting aside £219.2m for potential compensation claims relating to the motor finance mis-selling scandal. Increases to Real Living Wage hourly rates Almost half a million people are set to receive a pay rise thanks to increases in the voluntary Real Living Wage announced today. Rates will increase by 65p to £14.10-an-hour across the UK and by 65p to £15.45 in London. The new rates will benefit workers at almost 17,000 employers who pay the Real Living Wage. Emily Sawh, co-director of the Living Wage Foundation, said: ‘Today’s increase to the Real Living Wage will make a massive difference to hundreds of thousands of workers and their families up and down the country.’ Ineos Grenadier ‘Helmsman’ special editions Ineos has commenced a new run of special-edition versions of its Grenadier. The first of these is called ‘Helmsman’ and has been designed to add some new features to the car that were only previously available on limited-edition versions. Available both on the standard Grenadier Station Wagon and Quartermaster pick-up, the Helmsman is finished in a deep blue paint colour which was originally developed by Arcane Works, Ineos’ customisation department. New world record for electric motorcycle range Zero Motorcycles has set a new Guinness World Record for the longest distance travelled by an electric motorbike on a single charge. The electric motorcycle manufacturer managed the feat on a standard DS bike, covering 271.23 miles on a single battery charge. It beats the existing record by some margin, with the previous distance standing at 193 miles. The weather Heavy rain will move into northern England and Wales today, according to the Met Office, with brighter, cooler conditions following across Scotland and Northern Ireland. England and Wales will remain unusually warm, with some sunny spells and blustery winds. Tonight, rain will spread southeastwards across England and Wales, reaching the far southeast later. Elsewhere, there will be clear spells, with showers in the north. Friday will see rain clearing the southeast early, leaving a mixture of sunny spells and showers, particularly in northern and western areas. Temperatures will return to around average for the time of year. 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