The UK’s used car market saw a notable surge in the first quarter of 2024, marking a promising start to the year. Data from the Society of Motor Manufacturers and Traders (SMMT) reveals a 6.5% increase in sales, with 1,967,923 units finding new owners. This growth represents the most robust Q1 performance since 2019, indicating a positive trajectory for the automotive industry.
One key driver behind this growth is the improved supply of new cars, which has bolstered the availability and variety of second-hand vehicles in the market. Despite these advancements, the market is still on the path to recovery, as it remains 2.6% below pre-pandemic levels. This resilience and adaptability in the face of challenges demonstrate the industry’s ability to bounce back and thrive.
A notable trend in the market is the significant increase in sales of battery-electric vehicles (BEVs), which saw a staggering 71% surge during the quarter, amounting to 41,505 units and capturing a 2.1% market share. The rising popularity of BEVs can be attributed to the growing awareness of their cost-saving benefits and positive environmental impact. This shift towards electric vehicles reflects a changing consumer mindset towards sustainability and innovation in transportation.
In addition to BEVs, hybrid-electric vehicles (HEVs), and plug-in hybrids (PHEVs), I have also experienced growth in sales, with HEVs up by 49.3% and PHEVs up by 42.5%. These figures underscore the increasing interest in hybrid technologies as a transitional step towards full electrification. Despite the traction gained by electric and hybrid vehicles, petrol cars continue to dominate the market, showing a 7.7% increase in sales to 1,130,396 units. Conversely, diesel vehicles slightly declined by 1.3% to 697,718 units.
While conventional powertrains still hold a significant market share at 92.9%, consumers’ preference for electrified options is gradually rising. The market dynamics indicate a shifting landscape where eco-friendly vehicles are gaining traction, reshaping the automotive industry’s future.
Regarding vehicle types, superminis remained the most popular choice among buyers, with a 7.2% increase in sales. The lower medium segment recorded the highest volume gain, highlighting consumers’ diverse preferences. Dual-purpose vehicles also saw substantial growth, collectively representing a significant portion of sales.
However, not all segments experienced growth, as categories like executive, luxury saloon, and upper medium cars reported declining sales. This disparity in performance underscores the evolving consumer preferences and the need for manufacturers to adapt to changing market demands.
SMMT CEO Mike Hawes emphasized the importance of continuing to drive the momentum in the market, particularly in promoting electric vehicle adoption. He highlighted the significance of incentivizing EV uptake and expanding the ChargePoint network to facilitate the nation’s transition towards net-zero emissions.
The UK’s used car market is evolving rapidly. It is embracing electric and hybrid technologies while navigating changing consumer behaviours and market trends. As the industry continues to innovate and adapt, the future holds exciting possibilities for sustainable and efficient transportation solutions.
By staying attuned to consumer needs and fostering a supportive ecosystem for electric vehicles, the automotive sector is poised to drive the UK towards a greener, more sustainable future on the roads.
