Refusal of an application by Shropshire Council for a new Mercedes-Benz dealership could leave hundreds of jobs under threat in Shropshire and the West Midlands.
The plans, which involve a £3 million development, were submitted by Warwick Holdings Ltd. The company, which is a family owned enterprise, already has seven Mercedes Benz car showrooms across the Midlands under the name of the Dayton Group, which is a subsidiary company. The application is for an additional showroom in the Rural Enterprise Centre in Shrewsbury.
The company has warned that a refusal to give planning permission for the new site could cause uncertainty across all seven current dealerships – including sites in Worcester, Wolverhampton, Walsall and Stourbridge – and lead to their closure, with the loss of around 300 jobs.
However, if the plan is given the go-ahead, the company states that it will be able to transfer about 45 of its current staff in Shrewsbury, where the lease for the existing site ends in the summer of 2014, to the new dealership and create an additional 15 jobs, thereby protecting job security.