British Motor Corporation

The British Motor Corporation Limited(BMC) was aUK-based vehicle manufacturer formed in early 1952 to give effect to an agreed merger of theMorrisandAustinbusinesses.

The British Motor Corporation Limited

Industry	Motor vehicles
Predecessor	Morris Motors Limited Austin Motor Company Limited
Founded	1952 amalgamating Morris and Austin
Founders	Leonard Lord William Richard Morris
Defunct	1966
Fate	Merged withJaguar Carsto formBritish Motor Holdings
Successor	British Motor Holdings
Headquarters	Longbridge,United Kingdom
Key people	Leonard Lord George Harriman
Products	(include)Morris Minor,Mini,1100, MGB,Austin-Healey

BMC acquired the shares in Morris Motors and the Austin Motor Company. Morris Motors, the holding company of the productive businesses of theNuffield Organization,ownedMG,Riley,andWolseley.

The agreed exchange of shares in Morris or Austin for shares in the new holding company, BMC, became effective in mid-April 1952.

In September 1965, BMC took control of its major supplier of bodies,Pressed Steel,acquiringJaguar'sbody supplier in the process. In September 1966, BMC merged with Jaguar Cars.In December 1966, BMC changed its name toBritish Motor Holdings Limited(BMH).

BMH merged, in May 1968, withLeyland Motor Corporation Limited,which made trucks and buses and owned bothStandard-Triumph International Limitedand theRover Companyto becomeBritish Leyland.

Organisation

A BMC share certificate

A BMC ambulance

A 1963 AustinMiniSuper-Deluxe
The Mini was BMC's all-time best seller.

A 1965 Riley 4/72

BMC was the largest British car company of its day, with (in 1952) 39% of British output, producing a wide range of cars under brand names including Austin, Morris, MG,Austin-Healey,Riley, and Wolseley, as well as commercial vehicles andagricultural tractors.The first chairman was Lord Nuffield (William Morris), but he was replaced at the end of 1952 by Austin'sLeonard Lord,who continued in that role until his 65th birthday in 1961, but handing over, in theory at least, the managing director responsibilities to his deputyGeorge Harrimanin 1956.

BMC's headquarters were at the AustinLongbridge plant,nearBirminghamand Austin was the dominant partner in the group mainly because of the chairman. The use of Morris engine designs was dropped within three years and all new car designs were coded ADO from "Amalgamated Drawing Office". The Longbridge plant was up to date, having been thoroughly modernised in 1951, and compared very favourably to Nuffield's 16 different and often old-fashioned factories scattered overthe Midlands.Austin's management systems, however, especially cost control and marketing, were not as good as Nuffield's and as the market changed from a shortage of cars to competition, this was to tell. The biggest-selling car, theMini,was famously analysed byFord Motor Company,which concluded that BMC must have been losing £30 on every one sold. The result was that although volumes held up well throughout the BMC era, market share fell as did profitability and hence investment in new models, triggering the 1966 merger withJaguar Carsto formBritish Motor Holdings(BMH), and the government-sponsored merger of BMH withLeyland Motor Corporationin 1968.

At the time of the mergers, a well established dealership network was in place for each of the marques. Among the car-buying British public was a tendency of loyalty to a particular marque and marques appealed to different market segments. This meant that marques competed against each other in some areas, though some marques had a larger range than others. TheRileyandWolseleymodels were selling in very small numbers. Styling was also getting distinctly old-fashioned and this caused Leonard Lord, in an unusual move for him, to call upon the services of an external stylist.

As well as the car manufacturing arms, the company had its own printing and publishing firm, theNuffield Press,inherited from the Morris Motors group.

BMC Farina

In 1958, BMC hiredBattista Farinato redesign its entire car line. This resulted in the creation of three "Farina"saloons,each of which wasbadge-engineeredto fit the various BMC car lines.

The compact Farina model debuted in 1958 with theAustin A40 Farina.This is considered by many to be the first mass-producedhatchbackcar: a small estate version was produced with a horizontally split tailgate, its size and configuration would today be considered that of a small hatchback. AMark II A40 Farinaappeared in 1961 and was produced through 1967. These small cars used theA-Seriesengine.

The mid-sized Farinas were launched in 1958 with theWolseley 15/60.Other members of the group included theRiley 4/68,Austin A55 Cambridge Mk. II,MG Magnette Mk. III,andMorris Oxford V.Later, the design was licensed inArgentinaand produced as theSiam Di Tella1500, Traveller station wagon and Argenta pick-up. The mid-size cars used theB-Seriesstraight-4engine. Most of these cars lasted until 1961, though the Di Tellas remained until 1966. They were replaced with a new Farina body style and most were renamed. These were theAustin A60 Cambridge,MG Magnette Mk. IV,Morris Oxford VI,Riley 4/72,andWolseley 16/60,and in 1964 theSiamMagnette 1622 alongside the Siam Di Tella in Argentina. Most remained in production until 1968, with norear-wheel drivereplacement produced.

The third and largest Farina car was theAustin A99 Westminster/Vanden Plas Princess 3-Litre/Wolseley 6/99,launched in 1959. They used the largeC-Seriesstraight-6engine. The large Farinas were updated in 1961 as theAustin A110 Westminster,Vanden Plas Princess 3-Litre Mk. II,andWolseley 6/110.These remained in production until 1968.

BMC cars

Inherited models

Austin

• Austin A125 Sheerline1947–54
• Austin A135 Princess1947–56
• Austin A40 Sports1950–53
• Austin A70 Hereford1950–54
• Austin A301951–56
• Austin A90 Atlantic1949–52
• Austin A40 Devon1947–52

MG

• MG TD1949–53
• MG TF 1953–55
• MG Y-type1947–53

Morris

• Morris Minor1948–71 (1972 in New Zealand)
• Morris Oxford MO1948–54
• Morris Six MS1948–53

Riley

• Riley RM series1945–55

Wolseley

• Wolseley 4/501948–53
• Wolseley 6/801948–54
• Nuffield Oxford Taxi1947–55

BMC designs

Austin

• Austin A40 Somerset1952–54
• Austin A40 Cambridge1954–58
• Austin A90 Westminster1954–68
• Austin Metropolitan1954–61
• Austin A351956–59
• Austin Lancer(Australia) 1958–62
• Austin Princess IV1956–57
• Austin A40 Farina1958–67
• Austin A55 Cambridge1959–61
• Austin A60 Cambridge1961–69
• Austin Seven (Mini)1959–89
• Austin Freeway(Australia) 1962–65
• Austin 1100/13001963–74
• Austin 18001964–75
• Austin 3-Litre1967–71
• Austin Maxi1969–81 (Designed in the BMC era)

Austin-Healey

• Austin-Healey 1001953–59
• Austin-Healey 30001959–68
• Austin-Healey Sprite1958–71

MG

• MG A1955–62
• MG MagnetteZA/ZB 1953–59
• MG MagnetteMk III/Mk IV 1959–68
• MG Midget1961–74
• MGB1962–80
• MG 1100/13001962–73
• MGC1967–69

Morris

• Morris Oxford MO1948–54
• Morris Oxford series II1954–56
• Morris Oxford series III1956–59
• Morris Oxford Farina1959–71
• Morris Cowley1954–59
• Morris Isis1955–58
• Morris Marshal(Australia) 1957–60
• Morris Major(Australia) 1958–64
• Morris Mini Minor (Mini)1959–2000
• Morris 1100/13001963–74
• Morris 18001964–75

Princess

• Princess IV1957–59
• Princess 3 litre1959–60

Riley

• Riley Pathfinder1953–57
• Riley 2.61958–59
• Riley 1.51957–65
• Riley 4/681959–61
• Riley 4/721961–69
• Riley Elf1961–69
• Riley Kestrel1965–69

Vanden Plas

• Vanden Plas Princess 3-Litre1960–64
• Vanden Plas Princess 1100/1275/13001963–74
• Vanden Plas Princess 4-Litre R1964–68

Wolseley

• Wolseley 4/441952–56
• Wolseley 6/901954–59
• Wolseley 15/501956–58
• Wolseley 15001957–65
• Wolseley 15/601958–61
• Wolseley 16/601961–71
• Wolseley 6/991959–61
• Wolseley 6/1101961–68
• Wolseley Hornet1961–69
• Wolseley 24/80(Australia) 1962–67
• Wolsleley 1100/13001965–73
• Wolseley 18/851967–72

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BMC project numbers

Main article:Amalgamated Drawing Office

A 1966 MGB (ADO 23)

Most BMC projects followed the earlier Austin practice of describing vehicles with an 'ADO' number (which stood for 'Austin Design Office' but after the merger 'Amalgamated Drawing Office'). Hence, cars that had more than one marque name (e.g. Morris Mini Minor and Austin Mini) would have the same ADO number. Given the often complex badge-engineering that BMC undertook, it is common amongst enthusiasts to use the ADO number when referring to vehicles which were a single design (for example, saying 'The ADO15 entered production in 1959'- this encompasses the fact that when launched, the ADO15 was marketed as the Morris Mini Minor and, later, the Austin Seven—soon replaced with Austin Mini). The ADO numbering system did continue for some time after the creation of British Leyland – notable models being theAustin Allegro(ADO67) and the prototype version of theAustin Metro(ADO88).

Commercial vehicles

Most BMC-era commercial vehicles were sold as Morris, but there were sometimes Austin equivalents. Radiator badges on the larger vehicles were often BMC.

Car-based light vans

A Morris Cowley MCV Van

• Morris Z-series ¼-ton (Morris EightSeries E) 1940–53
• Morris ¼-ton O-Type (Morris Minor-based van) 1953–71
• Morris Cowley MCV (Morris Cowley#Morris Cowley MCV (1950–1956)van) 1950–56
• Austin A30van 1954–56
• Austin A35van 1956–68
• Austin A35pick-up 1956–57
• Morris ½-ton (Morris Cowley#½-ton series IIISeries III van) 1956–62
• Austin A55van 1958–62
• Austin A55pick-up (Australian built) 1958–62
• Minivan 1960–82
• Minipick-up 1961–82
• Austin A40 Farinavan (export only) 1961–67
• Austin 1800Utility (Australia built) 1967–74

Light vans

A 1957 Morris JB Van

• Austin K8 1948–1954
• Morris J-type1949–1960
• Morris LD 1952–1968
• Morris J2 1956–1967
• Morris 250 JU1967–
• Austin/Morris J41960–1974

Taxi cabs and hire cars

• Austin FX3Taxi 1949–58
• Austin FL1 Hire Car 1949-58
• Austin FX4Taxi 1958-82
• Austin FL2 Hire Car 1958-82

Light lorries

• Morris LC4 1952–54
• Morris LC5 1954–60
• Morris FV-series (Series I) 1948–54
• Morris FV-series (Series II) 1954–55
• Morris FE-series (Series III) 1955–59
• Morris FG 1960–68
• Morris FM 1961–68
• Morris WE1955–64
• Morris WF 1964–81
• Morris FF 1958–61
• Morris FH 1961–64
• Morris FJ 1964–68
• BMC VA 1958–76

BMC agricultural vehicles

With the merger of the Nuffield and Austin interests, theNuffield Organization's tractor range, theNuffield Universal,was incorporated into BMC.

BMC abroad

In the 1950s and the 1960s, BMC set up 21 plants overseas, some as subsidiaries, and some as joint ventures, to assemble its vehicles. One wasBritish Motor Corporation (Australia)which was established in 1953 at the Nuffield Australia site on the one-timeVictoria Park Racecourse, Sydney.This facility went from a marshalling area for fully imported Morris cars (Austins were up until then being assembled inMelbournefrom an earlier Austin Motors establishment), to a facility for makingCKDcars, to the total local fabrication and construction of vehicles, engines, and mechanicals.

Denmarkwas a particularly strong market for BMC products in Europe. In the postwar period, the Danish government closely regulated exports and imports to maintain the country'sbalance of trade.High-value imports such as cars were heavily taxed.

From 1963 to 1975, a company was established in Spain to produce BMC cars under licence, its name was: 'AUTHI' -'Automoviles de Turismo Hispano-Ingleses' -'Spanish-English Tourism Automobiles'. The factory was in Pamplona, Navarra, Spain, and when the production of Austin and Mini cars was discontinued, Sociedad Española de Automóviles de Turismo (SEAT), owned by the state and some banks and industrial investors, purchased the factory. After the takeover of SEAT by Volkswagen, SEAT made an 'internal' resale of the Pamplona factory, formerly Authi, to Volkswagen, which soon started producing there the 'Polo'.

In 1964, BMC Turkey was established in cooperation with the British Motor Corporation. The Turkish partners retained the 74% of the capital while 26% held by the UK-based British Motor Corporation.

Government takes over

TheWilson Labour government (1964–1970)came to power at a time when British manufacturing industry was in decline and decided that the remedy was to promote more mergers, particularly in the motor industry.Chryslerwas already buying into theRootes Group,andLeyland Motorshad acquiredStandardTriumphin 1961 (and would buyRoverin 1967), becoming a major automotive force. BMC was suffering a dramatic drop in its share of the home market.Tony Benn,appointedMinister of Technologyin July 1966, brought pressure to bear on the industry.

British Motor Holdings Limited

In mid-1965 BMC offered to buy its major supplier Pressed Steel and took control in September with 27,000 employees.Twelve months later, BMC merged with Jaguar Cars adding a further 7,000 employees.On 14 December 1966 BMC shareholders approved the change of its name toBritish Motor Holdings(BMH) and it took effect from that date.

British Leyland

Main article:British Leyland

Little more than 12 months later in January 1968, under pressure from theLabourBritish governmentand Minister of TechnologyTony Benn,a further wave of mergers occurred in the British car industry. BMH merged with theLeyland Motor Corporation(LMC) to form theBritish Leyland Motor Corporation(BLMC).BMC Ltd (which contained most of the operations of the former British Motor Corporation) remained a subsidiary company of BLMC after the merger, although its name was later changed to "Austin-Morris Ltd" - reflecting the newAustin-Morrisdivision of BLMC, with the BMC name subsequently disappearing from public view.

Within the new conglomerate, the various marques were grouped together into two main divisions, based largely on the original BMC and LMC businesses; with the former mass market BMC marques becoming part of theAustin-Morrisdivision of BLMC, whilst LMC stablematesRoverandTriumphjoined Jaguar in the Specialist Division.

This basic structure remained in place right up until the creation of theAustin Rover Groupin the early 1980s, by which time BLMC had been nationalised and renamedBritish Leyland Limited(later just BL plc), although by this time both Jaguar and Land Rover had been placed in their own independent subsidiaries which were separate from the old BMC/LMC divisions.

Post mortem

Following the merger with Leyland, a review of company records undertaken with the support of the new board, author Graham Turner stated that at the time of the merger, 16 versions of the Mini were being produced, yielding an average profit of just £16 per car, while everyMorris Minorsold lost the group £9 and everyAustin Westminstersold lost £17.This helps to explain why the Westminster and Minor were among the early casualties of the merger, as well as the introduction of theMini Clubman,capable of being built for less, but sold for more than a standard Mini thanks to simplified ( "modernised" ) front panels.

Even the UK's best seller, theAustin/Morris 1100,had to be subjected to an emergency cost-reduction programme which removed about £10 from the cost of each car, applying changes that included the omission of lead sealing from body joints (£2.40 per car), removing provision for optional reversing lamps (£0.10) and "changes in body finish" (£0.75).

Rebuilding theCowley plantto include "new automated body building facilities" saved £2.00 in transport costs per car for bodies that no longer needed to be transported from the corporation'sSwindonplant and in the longer term further transport costs were saved by concentrating assembly of the model at a single plant, rather than splitting it between plants at Cowley and Longbridge.

Because of the high proportion of auto-production costs represented by fixed costs that needed to be allocated over a planned production volume, and the use in the 1960s of investment appraisal criteria that were ill-suited to accounting for volume fluctuations and the rapidly changing value of the UK currency in the 1960s, the precise figures quoted may be open to challenge, but the new management's diagnosis that BMC's profitability was insufficient to fund support and new model investment to cover its disparate range of brands and models was hard to refute.

Throughout the 1960s, the failure of the United Kingdom to join theEuropean Economic Communitymeant that the company could not exploit the lucrative European markets due to high import tariffs, whereas BMC's key rivals Ford and General Motors both had German subsidiaries producing and selling within the bloc, and were therefore immune from those import tariffs.

Legacy

In 2002,BMC (Turkey),aTurkishcommercial vehicle builder, originally set up by the British Motor Corporation to build its designs under licence in the 1950s, began exporting its vehicles to Britain. This allowed the return of the BMC brand to British roads for the first time in over 40 years.

See also

• BMC engines
• Bathgate Lorry Plant
• British Motor Corporation (Australia)

External links

• Austin Memories