New car market feels supply chain squeeze during critical ‘new numberplate’ month, was the heading for the Society of Motor Manufacturers and Traders (SMMT) announcement for the new car registration for March. It was a crucial month for car retailers, celebrating as it did the rollout of new ’22’ registration vehicles. In the end, as the heading makes clear, volumes were disappointing.
- New car registrations declined by 14.3% to 243,479 units – the weakest March since 1998, before the UK went to two annual number plate changes – as supply chain shortages constrain deliveries.
However, in amongst the disappointment was an interesting trend;
- March was the best ever month for battery electric vehicles with 78.7% growth to 39,315 units, while all electrified vehicles account for one in three registrations.
It meant that UK car buyers bought more electric cars in the month than in the whole of 2019!
Good for the environment, especially as many of these cars are likely to be for higher mileage business users in light of some available tax breaks. It is also good news for the supply of used EVs going forward and this will be essential for the many people who would like to go electric but who cannot justify the high prices that new EVs command today.
