The UK has seen an increase in car finance fraud as a result of the recession, it has been revealed.

Figures released by automotive information specialist HPI show that almost 40 per cent of all motor fraud cases in the third quarter of 2009 were the result of people selling cars that had outstanding finance against them and that they therefore did not own.

The group added that if car buyers purchase a vehicle on outstanding finance, they stand to lose both the car and the money they paid for it.

Nicola Johnson, consumer services manager at the organisation, commented that a seller or purchaser receipt will not offer legal protection for a buyer if the car later turns out to be on outstanding finance.

"The hard truth is that finance companies can and will take back their asset if a loan secured against it is defaulted upon," she said.

Figures released by the Finance and Leasing Association earlier this week show that the number of new cars bought by consumers using dealer finance in December 2009 grew by a record rate of 91 per cent compared to the same month in 2008.

The UK Professional Drivers Association (PDA) has created a new charity aimed at helping vocational drivers.

Steve Parrish, the former truck and motorcycle racing champion, will be patron for the Professional Drivers Foundation.

Mr Parrish said that he was pleased to help a charity aimed at people such as HGV drivers, who he called the lifeline of the UK, having had a few accidents in his time on the circuit.

The charity will provide advice and financial support for professional drivers who need help, Mr Parrish hopes.

Pat Nicholson, PDA founder, said: "The foundation was formed primarily for the welfare of lorry drivers. It is not a well-paid industry, and entails long hours with many of the workforce being away four nights a week and sleeping in their vehicles."

The PDA aims to help those who are recently qualified to drive vocationally with their first job by providing them specialist knowledge.

Support for apprenticeships will help automakers emerge successfully from the recession, it has been suggested.

Studies conducted by BMG Research on behalf of the Institute of the Motor Industry (IMI) indicate apprenticeships are a proven way for businesses to train their workforce and enable an organisation to be more effective by addressing its skills gap directly.

Overall, the study showed that employers believe apprenticeships provide them with more highly-skilled staff, with 84 per cent stating that the qualifications that trainees achieve are valuable to their business and relevant to the automotive industry.

The IMI has released the data to coincide with National Apprenticeship Week, which runs from February 1st to February 5th and gives firms the opportunity to outline some of the benefits of the schemes.

Earlier this week, Personnel Today described apprenticeships as a tried and tested training solution, familiar to employers and respected by the country as a whole.

Car parts manufacturer Mazda has welcomed the government’s strategy on scrappage funding after it achieved a record retail share last year.

The government has confirmed that it will disperse its remaining scrappage scheme budget according to 2009 retail sales, which will allow the Japanese brand to acquire "sufficient funding" for it to satisfy customer demands.

Mazda Motors UK managing director Jeremy Thomson said it is the "only fair way" to divide up what remains of the budget.

"It is good news for Mazda as we achieved the biggest retail share in our history last year," he explained.

"Based on our 2009 retail share and our forecast for 2010, we will get sufficient funding from the government to satisfy our customers’ needs for the balance of the scrappage scheme."

Because the scrappage scheme’s final phase funding is smaller than when the initiative was introduced last May, Mazda is encouraging motorists to purchase a new car "sooner rather than later".

The government hopes that the scrappage initiative will involve a total of approximately 400,000 vehicles.

This year will be one of major change for the auto service and repair sector in the UK, according to regulatory body Motor Codes.

The group has announced it is embarking on a consumer awareness campaign with support from the Department for Transport.

Director of the service Chris Mason said that the initiative ensures every motorist in Britain can find a reputable, honest garage that charges fairly and has conscientious and competent staff

He added that its aim is to ensure that consumers receive high-quality service and are never ripped-off.

Motor Codes currently looks for garages, vehicle manufacturers and extended warranty administrators to achieve these standards.

The group aims to provide drivers with a list of trustworthy garages and currently has over 6,200 businesses on its subscriber base.

Transport minister Paul Clark has welcomed the success of Motor Codes, saying he was encouraged by the level of support it has received from the industry so far.

Two Liverpool high school students have won a national motor competition.

The Headlight competition – part of a new initiative developed by the Institute of the Motor Industry (IMI) along with specialist teachers through the National Schools Partnership – aims to improve motor industry interest among those studying business-related courses.

Students had to market a car focusing on brand, product and promotion.

Peri Meadows, one of the winning students, said: "It’s great that as well as enjoying a prize ourselves, by winning the minibus, we had also won a prize that can be used by the whole school too."

Head of professional development at the IMI highlighted that the motor industry is not just for technically-minded individuals and offers plenty of opportunities in areas such as sales, management, marketing, human resources, finance and administration.

North American International Auto Show (NAIAS) recently held an amateur photography contest which included a new category for electric vehicles, reflecting the changing direction of the industry.

Ford has pledged to pay for the VAT increase imposed by the government this month.

The government reduced VAT to 15 per cent in 2008 in an attempt to combat the recession, but as of New Year’s Day it has been back at its previous level of 17.5 per cent.

Ford, though, has said it will paying for this increase on all its car ranges until the end of February.

The manufacturer has seen 35,500 customers helped by the government’s scrappage scheme offers of at least £2,000 and hopes that the latest offer will boost new year sales.

Nigel Sharp, Ford Britain managing director, said: "Ford is offering some relief from the cold, tough start to 2010 by delaying the VAT impact on its new car prices to March."

He added that, when coupled with the current scrappage deals, the move would act as an incentive to visit a Ford retailer in the near future.

This year should see business fleet sales rocket past the one million mark, says the British Vehicle Rental and Leasing Association (BVRLA).

Many businesses have delayed the procurement of new vehicles due to the economic climate, but these will need replacing soon, believes BVRLA chief executive John Lewis.

He added: "Without the taxpayer-funded scrappage scheme to support them, retail sales are set to slump dramatically this year so it is not surprising that carmakers are already launching a charm offensive on their fleet customers in an attempt to regain share in the vital business market."

His comments follow the release of the new car registration figures for 2009 by the Society of Motor Manufacturers and Traders (SMMT).

The figures revealed that vehicle registrations were at their lowest for 14 years in 2009, despite 150,936 new cars being registered in December – 38.9 per cent more than for the same period in 2008.

The annual North American International Auto Show (NAIAS) will once again hold a photography contest.

Open to all ages, people will be granted early admission to the floor where they will be able to take photos of the models on show.

Sponsored by WWJ NewsRadio 9950, the show offers a $200 (£124) cash prize to whoever takes the best photos in different categories.

At this year’s show, which runs from January 11th to 24th, an electric vehicles category has been included thanks to the addition of Electric Avenue presented by The Dow Chemical Company, and the return of the Michigan Economic Development Corporation (MEDC) EcoXperience.

Doug Fox, chairman of the 2010 NAIAS, said: "This year, the NAIAS will be home to hundreds of vehicles ranging from economical hybrids, to top-of-the-line luxury models. This contest enables the guests of the show to participate in a unique way, and encourages amateur artists to look at the show from a different perspective."

The Institute of Advanced Motorists (IAM) has welcomed the tough stance taken by the government on dangerous driving but claimed effective enforcement is still key to any clampdown on the practice.

According to the organisation, the majority of motorists are law abiding and will share IAM’s support for tougher sanctions against dangerous drivers.

"The key to ensuring that any new laws are effective in reducing deaths on the roads will be high profile enforcement,” said IAM policy director Neil Greig.

“Dangerous driving cannot be enforced by camera and more traffic police will be needed to catch those drivers who flaunt the law.”

The increased range of penalties available to the courts will allow prosecutors to punish criminals appropriately, the organisation concluded.

Earlier this month, the government increased the maximum penalty for dangerous driving from two to five years.

Meanwhile, ministers have been lobbying the government to introduce more 20-mile-per-hour speed limit zones in urban areas and cut the drink drive limit.