>> The Brexit bedlam is now showing its real life effects in the auto industry. British car production fell by 9% last year, the biggest drop since the 2008 recession, and investments slumped by nearly half all due to fears about Brexit. The Society of Motor Manufacturers and Traders who released the figures on Thursday said Brexit has done enormous damage to the industry.
Reuters' Costas Pitas is in London.>> Since 2016, the year that Britain voted to leave the EU, investment car sales and output have all fallen. So on sales, the industry body blames a number of factors, including falling consumer confidence because of Brexit. Investment, which was the fresh number we got today is at the lowest since the financial crisis.
And the car industry body, the SMMT say that is people fearing what might be a no deal Brexit, the uncertainty that goes along that.>> Britain is the world's fifth largest economy and it's due to leave the EU on March 29. But Prime Minister Theresa May is scrambling to save her deal which was rejected by lawmakers.
And the EU has refused to budge on the agreement, bringing Britain one step closer to crashing out without a deal.>> What will happen in a no deal Brexit is a million dollar question nobody knows. What car makers have done is they've taken a number of steps to prepare.
So several of them will effectively be shutting their plants for a few weeks in April so they don't have deal with any disruption if there is any. A key question is what happens at Dover, what happens at Calais, even one lorry not arriving or one part not arriving.
Or one lorry not arriving in the right order compared to the other lorries could stop production at British factories for a short amount of time.>> But it's not only Brexit that is damaging the car industry. The UK's auto sector which employes 850,000 people has also been hit on a crackdown on diesel and a slowdown in China.