‘Disappointment’ as new car sales hit 25-year low
The UK's automotive industry suffered its worst March for new car sales for 25 years, according to new figures.
Just 243,479 new cars were registered last month, the Society of Motor Manufacturers and Traders (SMMT) said – down 14.3% compared to March 2021 and the lowest March total since 1998.
SMMT chief executive Mike Hawes described the figures as "deeply disappointing", with March crucial for the industry because it is normally the busiest month of the year as buyers seek the latest number plate.
He said: "While demand remains robust, this decline illustrates the severity of the global semiconductor shortage, as manufacturers strive to deliver the latest, lowest emission vehicles.
"With increasing household and business costs, Government must do all it can to support consumers so that the growth of electric vehicles can be sustained and the UK's ambitious net zero timetable delivered."
A record 64,165 battery electric vehicles were registered in March – up 78.7% on the same month in 2021 and taking a 16.1% market share.
Jim Holder, editorial director of magazine and website What Car?, said: "While it is evident and welcome that demand for low and zero emissions vehicles is growing at a fast pace, it is also clear that the uptake could be far greater if supply issues caused by the semiconductor computer chip shortage, and exacerbated by the war in Ukraine, weren't having such a devastating impact on sales figures.
"Recent hikes in energy prices and general costs of living are also posing a challenge."