You are here: Home - Household Bills - News -

Falling consumer confidence leads to dip in new car sales

Written by:
Sales of new cars in the UK fell by 3% in November as demand for diesel vehicles continued to plummet.

In total, 158,639 cars were registered in the month, compared to 163,541 during the same month a year before, according to figures from the Society of Motor Manufacturers and Traders (SMMT).

The trade body put the modest decline down to falling consumer confidence and supply constraints.

Demand for petrol and alternatively fuelled vehicles (AFVs) rose 3.5% and 24.6% respectively but failed to offset a 16.7% fall for diesel cars.

The Ford Fiesta and Volkswagen Golf continued to top the best-seller list.

Mike Hawes, SMMT chief executive, said: “Model and regulatory changes combined with falling consumer confidence conspired to affect supply and demand in November. The good news is that, as supply constraints ease, and new exciting models come on sale in the months ahead, buyers can look forward to a wide choice of cutting-edge petrol, diesel and electrified cars.

“It’s now critical that a Brexit deal is secured to boost consumer confidence and provide a stimulus to the new car market as we enter the New Year.”

James Fairclough, CEO of AA Cars said: “In truth, we had hoped that today’s figures would be slightly stronger, however, we are not overly surprised as the run up to Christmas is a traditionally more muted time for the industry.

“There are also other factors that have caused new car registrations to fall, including the VED upheaval, the introduction of new emissions regulations and the confusion over fuel types.

“Not to mention the uncertainty surrounding Brexit, which may well be causing people to delay their big ticket purchases.

“However, we are optimistic that this bottleneck will clear soon as we expect consumers to take advantage of compelling finance deals in the New Year.”

For more, see: Buying a new car? The finance options explained

There are 0 Comment(s)

If you wish to comment without signing in, click your cursor in the top box and tick the 'Sign in as a guest' box at the bottom.

ISAs: your back-to-basics guide for 2018/19

Here’s everything you need to know to make the most of your unused ISA allowance ahead of the 5 April deadli...

A guide to Sharia savings accounts

A number of Sharia savings products have upped their game in recent months, beating more familiar competitors ...

Five ways to get on the property ladder without the Bank of Mum and Dad

A report suggests the Bank of Mum and Dad is running low on funds. Fortunately, there are other options for st...

What will happen if rates change

How your finances will be impacted by a rise in interest rates.

Regular Savings Calculator

Small regular contributions can build up nicely over time.

Online Savings Calculator

Work out how your online savings can build over time.

Having a baby and your finances: seven top tips

We’re guessing the Duchess of Cambridge won’t be fretting about maternity pay or whether she’ll still be...

Protecting family wealth: 10 tips for cutting inheritance tax

Inheritance tax - sometimes known as 'death tax' - can cause even more heartache for bereaved families. But th...

Travel insurance: Five tips to ensure a successful claim

Ahead of your summer holiday, it’s important to make sure you have the right level of travel cover or you co...

Money Tips of the Week

  • RT @YourMoneyUK: Government plans cut to minimum shared ownership stake
  • RT @WeareJust_PR: “Families tend not to talk about money and death. But if we don’t talk about these themes it becomes very hard to make pr…
  • RT @RoyalLondon: Voluntary NI contributions to state pensions have risen - @stevewebb1 hails this as “great news that the message is gettin…

Read previous post:
petrol price
November sees largest petrol price drop in four years

The price of petrol fell by more than 5p per litre in November, the biggest monthly drop since January 2015...