Used car market suffers second-quarter slump

ILC ARTICLE

12th August 2022

Supply disruption continues to impact vehicle sales with the Society of Motor Manufacturers and Traders reporting an 18.8% decrease in the used car market in the second quarter of 2022.

It found that just 1,759,684 transactions took place, representing a 407,820 shortfall compared to the same period last year.

Declines of 16.8%, 20.9% and 18.6% were recorded in April, May and June respectively.

However, electric vehicle sales rose 57.1% to reach 16,782 units, doubling marketshare to one per cent, while plug-in hybrids reported a one per cent increase.

Mike Hawes, SMMT Chief Executive, said: “It was inevitable that the squeeze on new car supply would filter through to the used market. Despite this, Britain’s used car buyers clearly have a growing appetite for the latest low and zero emission cars, and we need a thriving new car market to feed it. The next Prime Minister must create the conditions to drive consumer confidence, especially in EVs, to drive the fleet renewal necessary to meet our decarbonisation goals.”