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Car Sales Drop 9% in U.K.

Sales of new cars in the U.K. fell 9% to 426,200 units last month, according to the Society of Motor Manufacturers and Traders.

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Sales of new cars in the U.K. fell 9% to 426,200 units last month, according to the Society of Motor Manufacturers and Traders.

It was the first year-on-year decline for September in six years but the sixth consecutive month of shrinkage. The trade group blames economic and political uncertainty, compounded by confusion about the impact of the government’s plan to ban diesel engines by 2040.

SMMT, noting that September is a bellwether month for the British car market, acknowledges that last month’s downturn will cause “considerable concern.” Last month’s biggest declines were in superminis (-21%) and luxury sedans (-36%). But the association says registrations in the U.K. fell for all vehicle body types except dual-purpose.

Sales through the first nine months of 2017 slid 4% to 2.07 million units. Demand for gasoline-powered vehicles rose 3%, but sales of diesels plunged 14%.

Gardner Business Media - Strategic Business Solutions