Editor's letter: UK car market is growing, these are the trends to watch

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The headline figures suggest an increasingly healthy UK car market

Five months into 2024, and the headline figures suggest an increasingly healthy UK car market. The market has enjoyed 22 straight months of growth, albeit total sales are still some 20% short of pre-Covid levels. This year, the overall market figure is not the main headline, rather the proportion of the sales that are electric given the introduction of the ever-popular ZEV mandate and its requirement for 22% of new car sales to be electric this year. The current run rate for the year is 16.

One car maker with a more extensive range of EVs has told me they are seeing demand from private buyers, yet it’s the ‘newness’ factor of EVs that is driving sales in this part of the market. If you have a fresh new model, a track record in EVs and dealers clued up in how to sell them, then ZEV mandate compliance is achievable. Such mainstream car makers remain in the minority for now.

 

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