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UK commercial vehicle (CV) manufacturing output increased by 33.3% in April following two months of decline, with 10,504 vans, trucks, taxis, buses and coaches produced, according to the latest figures published by the Society of Motor Manufacturers and Traders (SMMT).  

In a sign that recent supply chain shortages are easing, production ramped up to deliver the best-performing April since 2010. 

Growth was driven by a 56.3% increase in the number of vehicles produced for export, with 7,382 units – or seven in 10 vans produced – heading abroad, with the European Union remaining the sector’s biggest overseas customer responsible for 94.4% of exports.  

Production for the UK, meanwhile, remains down, by -0.7% to 14,124 units. Overall production volumes, however, are expected to increase further throughout the year, reflecting easing supply chain constraints and new electric van manufacturing coming on stream. Overall production volumes, however, are expected to increase further throughout the year. 

The used car sector displayed some traditional seasonal pressures in April, as average values fell by 7.0% from March’s high point. 

Values averaged £8,316 at BCA in April 2023, down by £623 compared to March 2023, largely due to the combination of the Easter holiday period, a changing mix of products at the wholesale level and a slight softening of retail demand as pressures on household budgets continued.  
 
The month-on-month decline in April 2023 was less pronounced than that recorded between March and April 2022 when values fell by 9.3%. 
 
BCA UK COO Stuart Pearson said: “Buyer interest for good quality stock continued as it has all year, while professional buyers were a little more cautious in their bidding on older, higher mileage stock or any vehicle that required a little more preparation before being retailed.” He added: “The BCA is confident that the used marketplace will remain relatively robust over the coming summer months.” 

V12 Vehicle Finance has reported a 109% annual growth in stock funding revenue, 17% growth in dealers with access to its stock funding product, and 27% growth in the number of dealers active in their usage. 

The growth reported by V12 follows recent reports of price rises from Cap HPI and Auto Trader, as independent dealers are having to battle even harder with franchises and supermarkets to secure stock. 

Many auction houses have introduced promotions to combat the knock-on effects of the cost-of-living crisis, which dealers are having to respond to at speed. 

As well as the rise in vehicle prices driven by a lack of supply, independent dealers are also under pressure to manage rising overheads and growing infrastructure demand, both of which are squeezing cashflow for many. 

V12 Vehicle Finance is reporting a growing interest in stock funding from dealers simply looking to act quickly upon finding quality stock or those looking to free up cash for other business investments. 

Greater availability and affordability of carbon-neutral e-fuels could offer a reprieve to internal combustion engine (ICE) vehicles as the automotive world shifts toward a zero-emission future. 

Steve Young, of the ICDP (International Car Distribution Programme), said that ‘blending’ e-fuels with conventional fuels could be a step in making the greener variant more widely available and cheaper. 

E-fuels, liquid or gaseous forms of energy produced using renewable energy, can be used as a drop-in replacement for petrol or diesel in ICE vehicles. 

Highlighting recent moves by some German politicians to “leave the door open” for ICE following the EC’s 2035 Net Zero deadline, Young said blending e-fuels with fossil fuels could make the greener fuel less costly. 

An alliance of leasing and rental industries, aftermarket operators, vehicle dealers, authorised and independent workshops, data publishers, insurers, automotive suppliers and consumer groups have joined forces to call on EU Commissioner Thierry Breton to bring forward long-planned legislation on access to in-vehicle data, functions and resources. 

“Pro-consumer and pro-competitive legislation is essential to kick-start the development of a vibrant, innovative and competitive European market for connected car services,” the alliance said. 

The Commission estimates this market could be worth €400bn globally by 2030. 

“Representing some 80% of the jobs and economic value of the European automotive and mobility eco-system, consumer and business leaders are calling on Commissioner Breton to act on the conclusive evidence gathered over the last seven years by his officials. 

“This comprehensive analysis has revealed a significant hurdle to achieving fair and equal access to vehicle-generated data, which gives vehicle manufacturers an almost insurmountable advantage due to the design of the vehicle."