UK new car market sees growth for first time since August

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he UK new car market recorded growth for the first time since August 2020, with 29,280 more units registered during March this year than last, according to figures from the Society of Motor Manufacturers and Traders (SMMT).

However, the month represents the anniversary of the first lockdown in March 2020, when the pandemic caused registrations to fall by 44.4%.

Compared with the 2010-2019 March average of 450,189, registrations were down 36.9%, with 283,964 units registered. So far, 2021 has seen 58,032 fewer cars registered compared to January to March last year, equivalent to a loss of £1.8bn in turnover during the first quarter.

Mike Hawes, chief executive of the SMMT, said: “The past year has been the toughest in modern history and the automotive sector has, like many others, been hit hard. However, with showrooms opening in less than a week, there is optimism that consumer confidence – and hence the market – will return.

“We know we will see record-breaking growth next month given April 2020 was a washout, but a strong and sustainable market is possible if customers are attracted to the choice and competitive offer the industry is able to provide within the safest of showroom environments.

“New plug-in models are already helping drive a recovery but to convince more retail consumers to make the switch, they must be assured these new technologies will be convenient for their driving needs and that means, above all, that the charging infrastructure is there where they need it, and when they need it.”