UK new car registrations up 10.4% in March

4th Apr 2024 09:11

(Sharecast News) - UK new car registrations rose 10.4% in March, according to the Society of Motor Manufacturers, as carmakers shored up electrified demand.

In what was typically the busiest month of the year due to the new numberplate, 317,786 new cars hit the road with a 24 plate - the best March performance since 2019, although still -30.6% below pre-pandemic levels. It also marked the 20th consecutive month of growth.

Growth was driven by fleet investment, up 29.6% as the sector continues to recover following constrained supply, while registrations by private buyers fell 7.7%, with a challenging economic backdrop of low growth, weak consumer confidence and high interest rates. Small business registrations, declined by 8.0%.

Petrol cars made up 55.7% of registrations, up 9.2% year-on-year, while diesel volumes fell 2.7% to account for just 7.3%. Uptake of hybrid electric vehicles, on the other hand, reached record levels, rising 19.6% to 44,550 and 14.0% of the market, while the biggest percentage growth was seen in plug-in hybrids, up more than a third to 24,517 units, or 7.7% of all new registrations.

SMMT chief executive Mike Hawes said: "Market growth continues, fuelled by fleets investing after two tough years of constrained supply. A sluggish private market and shrinking EV market share, however, show the challenge ahead. Manufacturers are providing compelling offers, but they can't single-handedly fund the transition indefinitely. Government support for private consumers - not just business and fleets - would send a positive message and deliver a faster, fairer transition on time and on target."

Reporting by Iain Gilbert at Sharecast.com