VAUXHALL cars owner General Motors (GM) has pushed up UK prices and is eyeing a production cut in Europe as it grapples with the impact of the Brexit-hit pound.

The US motor giant behind Chevrolet and Cadillac more than doubled net income to 2.77 billion US dollars (£2.3 billion) in the third quarter, but suffered a 100 million US dollars (£82.4 million) blow.

The firm said it had to raise UK car prices by 2.5 per cent on October 1 after the EU referendum result caused the British car industry to hit a “speed bump”. GM warned that if the pound continues to flag it could take an earnings hit of around 300 million US dollars (£247 million) in the fourth quarter.

It said its European arm may now struggle to meet its full-year profit targets for the region.


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