New motor sales stuck in the slow lane

● Economists say 2018 likely to be ‘challenging’ after fresh fall in trade

and able to offer the most appropriate finance and stock to their customers, whether that’s diesel, petrol, or electric.

“The strong pound should ease the way and allow them to buy better value stock, while also offering breathing space for the losses incurred by cars sat on the forecourt.”

Jim Holder, editorial director of What Car? magazine, said it was “pertinent” that the ongoing drop in diesel sales was not matched by equivalent rises in sales of petrol and electrified cars.

“Buyers don’t believe that petrol or electrified cars can deliver the performance or economy benefits they need, and so they are holding on to older vehicles for longer,” he said.

Howard Archer, chief economic advisor to the EY Item Club, said: “The car sector will be hoping that there was an element of car sales in March being hampered by the severe weather (particularly over the first half of the month) stopping buyers getting to showrooms.

“If this is the case, there could be some catch-up in April as car purchases turn out to have been delayed rather than lost.

“2018 looks set to be another challenging year for new car sales with a further drop around 5 per cent in sales highly possible.”