New car sales have fallen for another month. Credit: Pixabay

Motoring with Peter Vosper: June new car market down by almost a quarter

Peter Vosper

The new car market fell for another month with registrations down by 23.9 per cent.

Private sales were down by 22 per cent while business sales were only just over five per cent down and fleet sales 27.6 per cent down.

Once again, the only bright news was pure electric vehicles increased by close to 15 per cent on last June and are 56 per cent up year to date.

Volkswagen were market leaders in the month with Vauxhall second and Ford third.

Year to date, Ford lead with Kia and Volkswagen in second and third.

Not surprisingly diesel sales continue to fall and are more than 50 per cent down on 2021.

There are some misleading numbers as some manufacturers continue to support certain products as the shortage in chips shows little improvement and is certainly not expected to return to normal until the end of the first quarter of 2023.

Disappointingly, the van market up to 3.5 tonnes was down by 23 per cent which was affected by the chip shortage as well.

Ford dominated the market with almost 40 per cent share but there are still many outstanding orders to fulfil in spite of the turndown in the economy.

Confidence remains low with still uncertainty about what contribution the Government intends to make to the increasing energy and fuel bills and the war in the Ukraine forecast to drag on for the rest of the year.

Food prices have caused many people to compromise on healthy eating and the demand on food banks is at record levels as families struggle to balance their budgets.

There is also an increase in Covid cases and concern about the number of hospital employees with the virus and having to stay at home, causing further pressure on outstanding visits and remedial treatment.

However, the celebrations of the Queen’s 70-years reign, Wimbledon, a revival of the English cricket team, the British Grand Prix, along with some pleasant weather has brightened these difficult times and as we move towards the school holidays we will, no doubt, be fully occupied looking after children and grandchildren.

There is also an increased demand for used electric vehicles as motorists try to cut their fuel costs.

Unfortunately, stocks of these vehicles are low as consumers hang on to them, waiting for their replacement new cars to arrive.

At the moment it is clear that if you have, or can install, a home charger you can cut your vehicle fuel costs, but until the infrastructure of chargers improves over the next few years charging can be expensive.

I have recently had to make a number of long journeys and have needed to top up at motorway service areas and if you want a fast-charge you are likely to have to pay between 48p and 57p per kilowatt.

This is likely be turn out to be more expensive than petrol if you have a reasonably economic vehicle so bear this in mind.

There is also hope the Government will encourage the energy companies to incentivise users to store and use power outside the peak periods which would have a dramatic effect on the country’s usage and costs.

Electric is undoubtably the way forward but check all the facts before making a final decision and ask your dealer for advice.

Written by Peter Vosper, chairman of the Vospers group

Peter Vosper, chairman of the Vospers Group
Peter Vosper, chairman of the Vospers Group
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