The latest report by UK industry analysts Plimsoll shows the UK accident repair sector is becoming more polarised with a quarter of bodyshops in serious financial difficulty while a select few enjoy “staggering results”.

Plimsoll looked at 787 UK body repair businesses and found over a third reported a decline in sales with one in four assessed as being in serious financial difficulty. However, the report also indicates that despite difficult conditions, 157 companies are making profit margins more than double the industry average.

Senior Analyst at Plimsoll, Christopher Evans, commented, “The next six months will be a time for tough decisions and painful measures as many bodyshops attempt to put themselves back on a firm financial footing.”

The report also highlights over 200 bodyshop businesses identified as ripe for acquisition.