A MOTORING giant has announced it is pulling out of new car sales completely as it announces a third showroom closure in a matter of weeks.

Kia has been represented in Colchester by Underwoods for over a decade, but the dealership will close on Saturday, April 29.

The announcement is the latest in a string of closures announced by Underwoods.

The firm closed its Skoda dealership just under two weeks ago, which was followed by the announcement of the closure of its Vauxhall dealership on Tuesday.


Gerry Wiggins, who is the managing director of Underwoods, emphasised the decision was out of the firm’s hands.

He added: “The decision to close was not one of Underwoods' making, as we have been successfully representing Kia in Colchester for over ten years.

“As I am sure you are aware these are changing times within the motor industry, including online sales."

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The changes in the way car manufacturers work with their appointed dealers means Underwoods is moving away from representing manufacturers as their main dealer, instead focusing on used car sales and garage services.

Underwoods will maintain three locations in Clacton, Sudbury and Tiptree, and its boss emphasised it will continue to provide Kia maintenance and warranty repairs to their customers at the Kia authorised location in Clacton.

Mr Wiggins continued: “Underwoods remains a strong, family-run business, totally dedicated to providing support to all drivers.

“We are fortunate to remain with a great team of people working with us, providing an excellent level of customer service. We are as always, here for your driving life.”

No jobs will be lost as a result of the closure of the Kia dealership.

Mr Wiggins thanked his firm’s loyal customers, saying: “We greatly value our customers, and would like to thank all the Underwoods Kia customers who have been so supportive over the years, returning time and time again for their next vehicle and servicing.”