Engineering news
While new car registrations increased by 11.3% in July as dealerships made the most of pent-up demand and special offers, the Society of Motor Manufacturers and Traders (SMMT) predicted that overall sales will be down 30% this year.
After months of lockdown, new car registrations are currently down by almost 600,000, a year-on-year decrease of 41.9%.
Registrations increased by almost 175,000 in July as dealerships opened for their first full month of trading since February. Demand from private consumers grew 20.4%, with plug-in hybrids and battery electric vehicles making up 9% of registrations – up from 3.1% across 2019.
Despite the improvements, more than 13,000 retail and manufacturing jobs have been lost across UK automotive as a result of the pandemic. The SMMT predicted further cuts as the sector deals with other challenges, including Brexit uncertainty, shifts in technology and a depressed market.
“July’s figures are positive, with a boost from demand pent up from earlier in the year and some attractive offers meaning there are some very good deals to be had. We must be cautious, however, as showrooms have only just fully reopened nationwide and there is still much uncertainty about the future,” said SMMT chief executive Mike Hawes.
“By the end of September we should have a clearer picture of whether or not this is a long-term trend. Although this month’s figures provide hope, the market remains fragile in the face of possible future spikes and localised lockdowns as well as, sadly, probable job losses across the economy. The next few weeks will be crucial in showing whether or not we are on the road to recovery.”
Want the best engineering stories delivered straight to your inbox? The Professional Engineering newsletter gives you vital updates on the most cutting-edge engineering and exciting new job opportunities. To sign up, click here.
Content published by Professional Engineering does not necessarily represent the views of the Institution of Mechanical Engineers.