Bodyshops will increasingly merge in order to survive, mirroring the trend in the insurance industry, claims Acoat Bodyshop Services managing director David Wallace.

He said it makes little sense for large insurers to administer traditional insurer repairer networks when bodyshop networks will offer an off-the shelf alternative.

Wallace added insurers are looking to streamline their supply chains and increasingly bodyshops will transform into either owned networks or co-operatives.