- Britain’s new car market rises 26.2% in February, in seventh
consecutive month of growth.
- Battery electric deliveries rise 18.2%, with all plug-in cars
taking almost a quarter market share.
- Plug-in uptake set to near half a million units in 2023, but
Spring Budget measures needed to ensure a fair net zero
transition for UK motorists.
UK new car registrations grew by 26.2% in February as 74,441 new
cars joined Britain’s roads, according to the latest figures from
the Society of Motor Manufacturers and Traders (SMMT). While
February is typically low volume ahead of the March plate change,
this year it marked the seventh month of consecutive growth as
easing supply chain shortages steered the market closer to
pre-pandemic levels, down just -6.5% on the same month in
2020.1
The month saw almost universal growth across the market, with
deliveries to private buyers up 5.8% and those to large fleets up
46.2%. Business registrations, which account for a fraction of
the market, increased by 0.7%, equivalent to just nine units.
There was also growth in all but two segments, with only
registrations of executive and luxury saloon cars falling, by
-15.4% and -6.3% respectively. Minis (up 66.1%), multipurpose
vehicles (41.9%) and superminis (37.7%) posted the largest
percentage uplifts, with superminis remaining the most popular,
accounting for a third (33.1%) of all deliveries.
Hybrid electric vehicles (HEVs) recorded the most significant
growth of all fuel types, up 40.0%, followed by petrol, up 35.8%
with a 56.9% market share, while diesel registrations fell by
-7.0%.2 Zero emission capable vehicles, meanwhile,
continued their upward trend, with plug-in hybrids (PHEVs) rising
1.0% and battery electric vehicles (BEVs) posting another strong
month, up 18.2% to account for one in six new UK car
registrations.
Combined, plug-ins accounted for almost a quarter (22.8%) of all
deliveries in the month, with further growth anticipated. Indeed,
nearly half a million (488,000) PHEVs and BEVs are expected to
join Britain’s roads in 2023, as manufacturers bring more than 40
new plug-in electric models to the market. This will inevitably
increase demand for charging infrastructure, however, and while
the new £56 million LEVI capability funding is welcome, there
remains a clear requirement for binding targets that ensure
chargepoint rollout keeps pace.
As the new UK car market looks towards a year of double-digit
growth, the Spring Budget is an important opportunity to shape
Britain’s net zero progress and deliver an equitable transition
for all. This should include a long-term plan for chargepoint
investment, aligning VAT on public charging with domestic energy
use, and reviewing the Vehicle Excise Duty premium that will
unfairly penalise EV buyers switching to this inevitably more
expensive technology in the future.
Mike Hawes, SMMT Chief Executive, said, “After
seven months of growth, it is no surprise that the UK automotive
sector is facing the future with growing confidence. It is vital,
however, that government takes every opportunity to back the
market, which plays a significant role in Britain’s economy and
net zero ambition. As we move into ‘new plate month’ in March,
with more of the latest high-tech cars available, the upcoming
Budget must deliver measures that drive this transition,
increasing affordability and ease of charging for all.”
Notes to
editors
1 February 2020: 79,594 units.
2 Petrol and diesel totals include mild hybrid
electric vehicles (MHEVs).
