More than half of South Australia’s automotive service and repair businesses have suffered a drop in workload over the past six months, according to the latest industry data.
The inaugural Motor Trade Association SA/NT (MTA) Automotive Service and Repair Business Pulse Survey found 58 per cent of surveyed repairers reported a decrease or significant decrease in workload, while more than 56 per cent of workshops are seeing customers delay or struggle to pay at the completion of a job.
The cost-of-living squeeze is playing out directly at the workshop counter. 23 per cent of customers are requesting a reduced scope of work to lower their bill, while others are increasingly relying on payment plans or ‘Buy Now, Pay Later’ services to cover the cost of essential repairs. For workshops already managing rising input costs, declining workshop volume is placing enormous strain on business viability.
Motor Trade Association SA/NT CEO Darrell Jacobs said the financial pressure facing local small and family run workshops is becoming acute, “Our local repairers are on the frontline of this cost-of-living crisis and seeing more than half of our members experience a drop in workload is a major concern,” Mr Jacobs said.
“These small businesses are facing their own immense economic pressures, and a drop in customer volume combined with financially stretched customers is putting them in a precarious position. While workshops are doing everything they can to support their communities through tough times, the current economic environment is stretching many to the limit.”
The flow-on effect of this financial strain is that many motorists are delaying critical service and repair work. The survey found that 69.3 per cent of workshops identified cost or affordability as the primary reason customers refuse additional recommended work. Strikingly, 69 per cent of respondents noted that customers are actively declining vital maintenance, including tyres, suspension, engine work, and brakes.
Mr Jacobs warned that while skipping or deferring maintenance might feel like a short-term win for the household budget, it will inevitably bite motorists financially in the long run.
“Delaying necessary mechanical repairs is a false economy,” Mr Jacobs said.
“What starts as a minor delay or a rejected recommendation inevitably turns into a much larger, far more expensive mechanical failure down the road. Deferring work doesn’t make the expense go away; it just ensures the bill will be higher when the vehicle ultimately breaks down.”
Beyond the financial costs to households, a consequence of this cost-driven delay is a growing threat to road safety. The survey revealed that 62 per cent of workshops reported that more cars are arriving that are overdue for a service by at least 2,000 kilometres or six months. Furthermore, local mechanics estimate that nearly a third, 31.2 per cent, of all vehicles coming into their workshops now present with underlying safety or roadworthiness flaws that are being left unaddressed by owners.
“It is deeply concerning that the very components keeping a car securely on the road, tyres, brakes, and suspension, are where motorists are choosing to cut corners to save a dollar,” Mr Jacobs said.
“Despite the pressure on household budgets, we urge South Australians to speak openly with their trusted MTA mechanic to plan out necessary work within their budget. Putting off critical servicing might save a few dollars today, but it risks a catastrophic failure on the road tomorrow.”
Background
The MTA SA/NT Service and Repair Pulse Survey, sponsored by SP Tools, is designed to capture the economic health and operational trends of the automotive sector every six months. The inaugural June 2026 survey captured data from 101 automotive businesses across South Australia that collectively service more than 4,000 vehicles each week and employ over 420 technicians.
Read the full MTA Service and Repair Pulse report
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