UK Car Industry Shows Real Growth In 2016
The UK brand new car market achieved another record year in 2016, with annual registrations climbing for the fifth year in a row to almost 2.7 million, according to figures published today by the Society of Motor Manufacturers in addition to Traders (SMMT). The market has experienced uplifts in 10 out of the last 12 months, albeit finishing which has a December down slightly by -1.1% – with 178,022 brand new cars registered within the month.
Buyers were attracted by a range of brand new car types in addition to attractive finance deals, pushing registrations up to 2,692,786 in 2016 – up 2.3% on the previous year in addition to broadly in line with expectations. The UK brand new car market is actually one of the most diverse within the planet, with some 44 brands offering nearly 400 different design types – in addition to 2017 looks set to be another competitive year with almost 70 brand new launches already planned over the next 12 months.
Fleets were responsible for most of the growth, with demand growing to a record 1.38 million units. The private market remains at a historically high level, with more than 1.2 million private buyers registering a brand new car in 2016, although demand did fall over the latter three quarters. The competitive range of affordable finance is actually a crucial factor driving private demand as consumers are able to take advantage of low interest rates in addition to flexible payment options.
Diesel in addition to petrol cars continued to be by far the most common fuel types for consumers with market share at 47.7% in addition to 49.0% respectively. However, alternatively fuelled vehicles (AFVs) experienced a strong uplift in demand, up 22.2% across the year. Plug-in hybrids in addition to petrol electric hybrids, in particular, experienced significant growth, with demand up 41.9% in addition to 25.1% respectively. Meanwhile, more than 10,000 motorists chose to go fully electric in 2016 – up 3.3% on 2015.
Mike Hawes, SMMT Chief Executive, said, “Despite 2016’s political in addition to economic uncertainties, the UK’s brand new car market delivered another record performance as car makers offered an incredible range of innovative in addition to high tech types. 2017 may well be more challenging as sterling depreciation raises the cost of imported goods yet, with interest rates still at historic lows in addition to a range of brand new types arriving in 2017, there are still many reasons for consumers to consider a brand new car in 2017. Looking longer term, the strength of This kind of market will rest on our ability to maintain our current trading relations in addition to, in particular, avoid tariff barriers which could add significantly to the cost of a brand new car.”
by Mr Butterscotch via Car Articles