New Car Sales to Retail Buyers Decline for Ninth Consecutive Month in June

The latest data from the Society of Motor Manufacturers and Traders (SMMT) reveals that sales of new cars to retail buyers have been on a downward trend for the ninth consecutive month in June. Despite an overall rise in new car registrations, retail sales were down by 15.3%, with fleet sales dominating the market.

One interesting trend to note is the increasing popularity of electric vehicles (EVs). Registrations of plug-in hybrids, hybrid electric vehicles (HEV), and battery electric vehicles (BEVs) all saw significant growth in June. BEVs, in particular, reached their highest monthly market share this year, accounting for 19.0% of all new vehicle registrations.

However, the growth in BEV registrations was driven primarily by the fleet sector, with private BEV uptake actually falling year to date. The SMMT highlighted that BEV uptake is currently behind government-mandated levels, calling for policy changes such as halving VAT on new electric cars and reducing VAT on public charging to accelerate the transition to zero emissions vehicles.

In terms of top-selling cars, the Kia Sportage took the lead in June, followed by the Nissan Juke and the Tesla Model Y. The Ford Puma remains the best-seller year-to-date, with 26,374 registrations.

Mike Hawes, SMMT chief executive, emphasized the need for the next government to implement policies that can re-energize the new car market and facilitate a faster transition to zero-emission vehicles. With all parties agreeing on the importance of cutting carbon emissions, the shift towards electrified powertrains is seen as essential in achieving this goal.

As the automotive industry continues to navigate challenges and opportunities in the evolving market, it will be interesting to see how consumer preferences, government policies, and technological advancements shape the future of new car sales. Stay tuned for more updates on the latest trends and developments in the automotive sector.