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| UK diesel car sales dive by more than a fifth amid falling consumer confidence | |
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| New car sales in the UK fell for a sixth month in September, leaving the market on course for its first annual decline since 2011, the industry’s trade body said. | New car sales in the UK fell for a sixth month in September, leaving the market on course for its first annual decline since 2011, the industry’s trade body said. |
| Car registrations dropped by 9.3% to 426,170, the first time the September market has declined in six years. The Society of Motor Manufacturers & Traders blamed declining consumer confidence given uncertainty over Brexit and confusion over air quality plans. Sales of diesel cars crashed by 21.7% in September. | Car registrations dropped by 9.3% to 426,170, the first time the September market has declined in six years. The Society of Motor Manufacturers & Traders blamed declining consumer confidence given uncertainty over Brexit and confusion over air quality plans. Sales of diesel cars crashed by 21.7% in September. |
| New car registrations have fallen 3.9% over the first nine months of 2017 and are likely to record a fall over the year as a whole. | New car registrations have fallen 3.9% over the first nine months of 2017 and are likely to record a fall over the year as a whole. |
| The SMMT had been expecting an annual decline because previous years were strong, but it now looks as though that drop may be bigger than expected, a spokeswoman said. | The SMMT had been expecting an annual decline because previous years were strong, but it now looks as though that drop may be bigger than expected, a spokeswoman said. |
| Richard Jones, managing director of motor finance firm Black Horse, part of Lloyds Banking Group, said: “With the new 67 plates now available, September was an important month for the industry and today’s figures reflect the general slowdown across the market. | Richard Jones, managing director of motor finance firm Black Horse, part of Lloyds Banking Group, said: “With the new 67 plates now available, September was an important month for the industry and today’s figures reflect the general slowdown across the market. |
| “The ongoing action from manufacturers around scrappage schemes and the broader discussion around fuel technology might well have impacted on the numbers given that we saw a continued fall in sales of diesel cars.” | “The ongoing action from manufacturers around scrappage schemes and the broader discussion around fuel technology might well have impacted on the numbers given that we saw a continued fall in sales of diesel cars.” |
| Sales of diesel cars have been falling for six years and if this trend continues, CO2 emissions from new vehicles could rise this year for the first time since average CO2 emissions in Britain were first recorded in 2000, the SMMT warned. | Sales of diesel cars have been falling for six years and if this trend continues, CO2 emissions from new vehicles could rise this year for the first time since average CO2 emissions in Britain were first recorded in 2000, the SMMT warned. |
| Diesel vehicles were long promoted as being cleaner than petrol cars but recent research suggested that they could be worse for causing carbon emissions. Tax breaks have favoured diesel over petrol, even though they are a leading emitter of the air pollutant nitrogen dioxide (NO2), which is responsible for an estimated 70,000 premature European deaths each year. | Diesel vehicles were long promoted as being cleaner than petrol cars but recent research suggested that they could be worse for causing carbon emissions. Tax breaks have favoured diesel over petrol, even though they are a leading emitter of the air pollutant nitrogen dioxide (NO2), which is responsible for an estimated 70,000 premature European deaths each year. |
| This year, the UK government announced that it would ban all new petrol and diesel cars and vans from 2040, following a similar announcement in France. | This year, the UK government announced that it would ban all new petrol and diesel cars and vans from 2040, following a similar announcement in France. |
| Mike Hawes, the SMMT chief executive, said: “September is always a barometer of the health of the UK new car market so this decline will cause considerable concern. Business and political uncertainty is reducing buyer confidence, with consumers and businesses more likely to delay big-ticket purchases.” | Mike Hawes, the SMMT chief executive, said: “September is always a barometer of the health of the UK new car market so this decline will cause considerable concern. Business and political uncertainty is reducing buyer confidence, with consumers and businesses more likely to delay big-ticket purchases.” |
| He noted that a car is usually the second-largest big-ticket item for consumers, after a property. | He noted that a car is usually the second-largest big-ticket item for consumers, after a property. |
| “The confusion surrounding air quality plans has not helped, but consumers should be reassured that all the new diesel and petrol models on the market will not face any bans or additional charges,” he added. | “The confusion surrounding air quality plans has not helped, but consumers should be reassured that all the new diesel and petrol models on the market will not face any bans or additional charges,” he added. |
| He said “diesel clearly offers benefits in terms of fuel economy and for many customers fuel economy is an important thing”. | He said “diesel clearly offers benefits in terms of fuel economy and for many customers fuel economy is an important thing”. |
| The biggest declines in September were seen at opposite ends of the market with sales of luxury saloons and superminis falling 36.4% and 21.2% respectively. | The biggest declines in September were seen at opposite ends of the market with sales of luxury saloons and superminis falling 36.4% and 21.2% respectively. |
| Demand from business, fleet and private buyers all fell in September, down by 5.2%, 10.1% and 8.8% respectively. | Demand from business, fleet and private buyers all fell in September, down by 5.2%, 10.1% and 8.8% respectively. |
| Sue Robinson, director of the National Franchised Dealers Association, said: “Consumers walking into the showroom need more clarity on issues such as diesel and air quality. We are working closely with car retailers to assist them in educating their customers.” | Sue Robinson, director of the National Franchised Dealers Association, said: “Consumers walking into the showroom need more clarity on issues such as diesel and air quality. We are working closely with car retailers to assist them in educating their customers.” |