Welch’s Transport saw a significant increase in its garage activities last year, which it said reflected a lack of capacity in the market due to a shortage of qualified technicians.

Amid warnings of a growing skills gap in the industry, the Cambridgeshire haulage firm experienced an increase in turnover in its motor trade work of almost 25% in 2023 to £2m (£1.6m).

The upturn contrasted with its haulage and warehousing activities, where turnover reduced by 6.4% to £12.7m during the period.

Pre-tax profits fell to £348,000 from £720,000 in 2022.

The company, which earlier this year announced MD Jim Welch was handing over the reins to his son Chris, said the challenges brought about by Covid and Russia’s invasion of Ukraine had faded during the year, but that overall activity levels had been flat.

In a business review, Welch’s Transport said: “Inflation remained at painfully high levels, although moderating towards the end of the year, whilst interest rates remained well above what has been the norm for the last 15 years.

“Against this backdrop, storage and distribution operations saw a drop off in performance whilst our motor trade activities showed a significant improvement”.

Welch's new electric lorry was delivered during the period

Welch’s new electric lorry was delivered during the period

Source: Matthew Power Photography

It added that it had invested in its Cambridge site during the trading period, extending its warehouse, workshop and trailer park.

A solar array was installed on its Cambridge truck centre roof and with the introduction of its first electric truck, the company said these demonstrated its journey to net zero.

This week, the Institute of the Motor Industry warned that there would be a shortfall of 3,000 technicians by 2031 and it would hit 16,000 by 2035.

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