The UK new mild business automobile (LCV) market fell by -26.9% to 17,566 registrations within the first month of 2022 in contrast with a bumper January final 12 months, in response to the newest figures launched right this moment by the Society of Motor Producers and Merchants (SMMT)
The UK new mild business automobile (LCV) market fell by -26.9% to 17,566 registrations within the first month of 2022 in contrast with a bumper January final 12 months, in response to the newest figures launched right this moment by the Society of Motor Producers and Merchants (SMMT).
Whereas it was the weakest begin to a 12 months since 2013, January has traditionally been a unstable month because of the intermittent nature of fleet renewal. The decline follows what was one of the best January for 31 years in 2021, when new fashions and compelling offers noticed registrations attain 24,029 items, up 2.0% even on a pre-pandemic January 2020.
Newly registered small vans, weighing lower than or equal to 2 tonnes, greater than halved at -53.9%, whereas medium-sized automobiles over 2.5 tonnes, representing two-thirds of the LCV market, fell by -29.8%. Pickup truck gross sales additionally declined, by -17.4%, however 4x4s recorded a 196.8% enhance, although they continue to be a fractional section.
Whereas diesel remained the dominant gasoline sort for business automobiles, with a 94.3% market share, demand for battery-powered vans grew 21.4% with 647 items registered – 3.7% of the general market. Electrical van uptake is predicted to climb considerably this 12 months because of key new mannequin launches, by 81.3% to 23,130 items, which might characterize 6.4% of the market, in contrast with 3.6% or 12,759 items in 2021. This implies roughly one in 16 new vans will probably be totally electrical in 2022.
SMMT’s newest market outlook forecasts the LCV sector to develop 2.0% general in 2022, to 362,620 items. This is able to put the market simply shy of the 365,778 automobiles registered in 2019 and solely -3.5% under the sector’s report 12 months of 2016. 2023, in the meantime, is anticipated to proceed this progress, with 387,420 registrations, overtaking 2019 and even 2016 volumes to set a brand new market report. Electrical van registrations are predicted to rise an additional 57.6% subsequent 12 months, to a market share of 9.4%.
Mike Hawes, SMMT Chief Government, stated,
Regardless of the gradual begin, the van market is anticipated to submit one other robust 12 months. Whereas chip shortages, rising inflation and elevated power prices will have an effect, progress remains to be anticipated given the inexorable rise of house deliveries and broader financial restoration. With extra battery powered vans coming to market, the demand for these new applied sciences seen in January is prone to proceed throughout the 12 months. With uptake charges nonetheless lagging the brand new automobile market, which has the identical finish of sale date, the significance of bringing each lever – buy incentives, fiscal measures and recharging infrastructure funding – to bear on this crucial sector is self-evident.
SOURCE: SMMT
