UK car demand dips as consumers remain pessimistic - SMMT

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Sharecast News | 05 Dec, 2019

UK new car registrations fell by 1.3% in November amid weak private demand, according to data released on Thursday by the Society of Motor Manufacturers and Traders (SMMT).

Private registrations fell by 6.1% as weak consumer confidence, economic uncertainty and confusion over diesel and clean air zones combined to affect demand.

The business market also contracted, declining by 3.2%, though fleet registrations rose by 2.8%.

The figures mean that the UK's new car market is down by 2.7% across the year-to-date, with approximately 2.2m cars registered over the 11-month period.

On a more positive note, demand for alternatively fuelled vehicles continued to surge, with battery electric car registrations soaring by 228.8% and the markets for plug-in hybrids and hybrid electric vehicles jumping by by 34.8% and 15.0%, respectively.

SMMT chief executive Mike Hawes said: "These are challenging times for the UK new car market, with another fall in November reflecting the current climate of uncertainty. It’s good news, however, to see registrations of electrified cars surging again, and 2020 will see manufacturers introduce plenty of new, exciting models to give buyers even more choice.

"Nevertheless, there is still a long way to go for these vehicles to become mainstream and, to grow uptake further, we need fiscal incentives, investment in charging infrastructure and a more confident consumer."

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