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UK car sales fall to six-year low amid Brexit and diesel slump – The Guardian, Theguardian.com

UK car sales fall to six-year low amid Brexit and diesel slump – The Guardian, Theguardian.com


Sales of electric vehicles rising, but average CO2 emissions increasing, says SMMT

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************************** (******************************** (************************************************************** () ******************************** (**************************************** (**********************************************************UK car sales fell by 2.3% year on year in to about 2.3m. (****************************************** Photograph: PBWPIX / Alamy (**************************************

The British car industry suffered twin disappointments in (**********************************************************************, with sales falling to a six-year low and average carbon dioxide emissions increasing further above new regulatory limits.

UK car sales fell by 2.4% year on year to about 2.3m, according to figures from the Society of Motor Manufacturers and Traders, with the industry body blaming Brexit uncertainty and the slump in diesel sales as the main factors.

This indicates the worst year for the UK market since 2018, when sales were 2. 26 m. They reached a peak of 2.7m in 2019 but have declined steadily since.

However, the increase in CO2 emissions may point to greater longer-term problems for carmakers selling in Britain. All manufacturers selling in the EU are

rushing to meet emissions emissionsthat came into force at the start of the year. Average CO2 emissions rose for the third year in a row, up 2.7% year on year to .9g of CO2 per kilometer, the figures suggested – far above the target of g per kilometer they need to achieve over this year and next for all cars sold.

Mike Hawes, the SMMT chief executive, acknowledging the figures showed the challenge facing the industry. He said: “The step change that is required is significant.”

About half of the headline increase was caused by a change to testing standards. Another quarter of the change was caused by the 21. 8% drop in diesel sales over the year. Newer diesels on average have lower CO2 emissions than petrol cars, despite a

backlash prompted by air quality concerns. The final quarter was caused by increased sales of SUVs, which are often heavier and have much worse aerodynamic profiles than smaller cars. Increased fuel use by SUVs was thesecond largest contributorthe increase in global CO2 emissions from to, according to the International Energy Agency.

Under the EU regulations carmakers face fines potentially running into billions of euros across the UK and the rest of Europe if they surpass individual limits designed to hit that target. Continued increases in emissions from cars would make it much more difficult for the UK to reduce overall CO2 reduction targets.

One bright spot in an otherwise difficult market was the rapid increase in sales of battery electric and hybrid vehicles, which combine an internal combustion engine with a battery-powered motor. Annual sales of alternatively fueled vehicles rose by 20. 6% to a record market share of 7.4%. That was driven by the surge in battery electric sales, which were up by 144%.

Sign up to the daily Business Today by email or follow Guardian Business on Twitter at @BusinessDesk (************************************** However, sales of battery electric vehicles would need to rise from the 1.6% market share for (to (% to hit the) ************************************************************************************ g target alone, according to the SMMT’s calculations.

Hawes repeated his industry’s plea for a post-Brexit trade deal that preserves frictionless trade between the EU and the UK, and that prevents the imposition of tariffs. He added that Brexit uncertainty remained hisnumber one fear for the industry.

“Undoubtedly consumer confidence around our big-ticket items is weak,” said Hawes, speaking at a briefing in London ahead of the publication of final figures, due to be confirmed on Monday morning.

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