INCHCAPE has has sold its Volkswagen car franchise in Chadderton to Swansway Garages.

The deal on the Manchester Road showroom is the latest in a series of withdrawals from the German car franchise.

A statement released to media by Inchcape said: "Inchcape UK have agreed the sale of 2.5 acres of development land with planning consent in Oldham to Swansway Garages, a local business operating in North West and Midlands area.

"This sale will allow Swansway group to begin the development of a new VW dealership.

"As part of the land sale Inchcape will transfer the short term rented facility in Manchester Road, to allow VW sales and service in Oldham to continue uninterrupted until the new facility is complete."

It added: "Inchcape UK are fully committed to its extensive partnership with the VW brand and are pleased to have been able to assist Swansway and VW in their joint ambition to develop in Oldham.

"Inchcape UK remains a key partner for VW in the Greater Manchester area and have recently completed a redevelopment of their VW Bury dealership, and relocated VW Manchester Commercial vehicles to a dedicated facility in Trafford Park."

Swansway's acquisition of the Oldham VW business takes its representation of the German brand's car franchise to three sites, alongside Crewe and Wrexham.

John Smyth, director of Swansway Group, said: “We have operated Volkswagen Group franchises since we were founded in 2003 and are very proud to have been named Volkswagen Dealer Group of the Year in 2019 and Retailer Group of the Year in 2018.

"The expansion of our Volkswagen portfolio is something we’ve considered for a number of years and we’re delighted to be close to completing this deal with Inchcape."