Updated: 29 May 2025

The statistics paint a bleak picture. Vacancy rates in the sector are at record highs according to the Institute of the Motor Industry (IMI). With a shortfall of 35,700 technicians predicted by 2030 unless the issue is addressed. ¹

Although the number of certificates grew in 2024, the sector is still failing to attract new talent at the levels required ². Thatcham Research shared these concerns with the Government, and issued a call to promote entry-level and upskilling training, as well as raising the apprenticeship levy cap, which hasn’t been reviewed since 2017, by 20%. ³

There are also concerns about the sector’s readiness for new vehicle technology. The IMI now predicts that by 2035 there will be a shortfall of 22,500 technicians holding its TechSafe qualification, which enables them to work safely on electric vehicles. Similarly, while 5,175 technicians are advanced driver assistance system (ADAS)-certified, the estimate is that 156,000 will be needed by 2032. 

The industry has one of highest numbers of vacancies per employed role, second only to human health and social work activities sector ⁴. Another significant consideration highlighted by Thatcham is the age demographic of the workforce holding these skills. With retirement looming - or even having been postponed due the opportunity of higher wages -  it’s more apparent than ever that supporting the development of new skills is crucial. 

A recent decrease in motor claims has increased availability in garages and repair centres ⁵. Dean Lander, head of repair sector services at Thatcham Research, said: “We must continue to issue a real call to action to address the skills deficit. We cannot be caught off guard by an abundance of capacity due to reduced claims, which is only temporarily masking an issue that needs to be addressed as a critical part of planning for the future.”

This skills gap has serious ramifications for insurers and their customers. “Longer key-to-key times add to the cost and inconvenience of a claim,” says Olivia Baker, head of motor trade at Allianz. “It’s not just the cost of the repair: where a vehicle is off the road for longer, you could also be looking at increased costs for a courtesy car. This all feeds into insurance premiums.”

A lengthier repair can also introduce friction in the relationship with the customer. Someone who has experienced motor claims in the past or who only needs a small repair to their vehicle may question why it needs to take so long. Managing their expectations can take additional time and input from customer services staff.

There are also potential safety issues. Working on a vehicle without appropriate training can be dangerous for technicians. For instance, it’s crucial that technicians working on electric vehicle repairs have the appropriate training to avoid the risk of electric shocks from the high voltage components.

Inadequate training could also create further inconvenience and, in some cases, risk for motorists. The amount of technology included in a modern vehicle; such as such as Advanced Driver Assistance Systems (ADAS), means that even a simple repair such as replacing a windscreen can mean the sensors need to be recalibrated, failing to do this could compromise the vehicle’s safety systems. 

The emergence of so much new technology in vehicles over the past 10 years has put pressure on the sector to develop new skills but Frank Harvey, head of member services at the Independent Garage Association, part of the Retail Motor Industry Federation (RMI), says the problems started a long time ago. “The structure of apprenticeships changed with the introduction of the Youth Opportunities Programme,” he explains. “These were short six-month programmes, giving little incentive for commitment on either side.”

Although today’s apprenticeships have evolved and now take a longer-term approach, lasting from one to five years, Harvey says the sector’s image is still stuck in the past. “One of the big recruitment challenges we face is that the perception of motor repairs hasn’t changed. It’s still seen as dirty and smelly when the reality is that the amount of technology in today’s motor vehicles means it’s more like working on a computer.”

Sharing a similar perspective, Gennaro Vullo, motor damage strategy focal point for Allianz UK, explained that ”In order to be future-proof, we need to consider that as technology evolves, vehicles will get safer and we're likely to see fewer accidents. This means that repairs will likely shift to focus more on the intricate components of electric vehicles, such as EV batteries and advanced electric equipment, including sensors and software systems that manage autonomous driving features and connectivity.”

Switching from old school motor repairs to the diagnostic and technical skills today’s vehicles require means investment from motor repair businesses. Alongside training, modern vehicle technology can require new tools, equipment, and even additional space to ensure work is carried out safely.

Unfortunately, the need for this investment has come at the same time as the economy is struggling. Inflation, higher interest rates and post-pandemic recovery have forced many businesses to put the brakes on this type of investment. 

Undoing decades of underinvestment in motor repair skills may sound an impossible task but it’s important to note that the sector, and the vehicles it works on, have evolved considerably over that time. Today’s technicians need to have a much broader knowledge but also good computer skills to be able to work with the diagnostic tools that are now commonplace.

Alongside a revamp of the sector’s image, its crucial motor repair businesses must invest in training too. Ensuring technicians have the right skills to work on vehicles with new technologies is essential but this investment in staff development also sends out a positive message about a business to potential recruits but also customers and partners.

“Across Allianz Holdings we work with AutoRaise, a charity, set up to help the UK vehicle repair industry attract young people into a range of technical apprenticeships,” says Mark Green, claims supply chain manager at Allianz.

“But with technology moving at such a pace it’s important that all technicians develop their skills. Our Approved Repairer Network is predominantly made up of regional/national repairers that have a clear focus on the future. When appointing repairer partners we prefer that they have established training and development policies in place as well as apprenticeship programmes. This ensures existing staff as well as new recruits are upskilling.”

This technology-focused skillset means that are more career opportunities in the sector too. Harvey says: “Anyone coming into the sector can develop skills that could take them into areas such as management, vehicle damage assessing or even setting up their own business. We need to shout about these opportunities.”

To help Allianz Motor Trade customers, the RMI offers a range of training courses at membership rates. These cover everything from a vehicle technician annual assessment and MOT training through to hybrid/electric vehicle repair and ADAS awareness.

As modern vehicle technologies become more commonplace, gaining the skills and equipment required to repair the rapidly evolving car parc has never been more important.