Eighth consecutive monthly rise for new car sales in February
4 March 2010

New car sales in the UK rose 26.4 per cent year on year in February, the eighth consecutive month of growth in the sector.

The most significant growth was in the private sector as buyers took advantage of the scrappage incentive scheme, which will finish at the end of March. There was also growth in the fleet and business sectors.

A total of 68,686 cars were sold in the UK last month and 19.6 per cent of those sold were under scrappage.

The SMMT’s chief executive said a consistent approach to CO2-based taxation from the government and access to affordable credit for buyers were important if sales were to continue to rise.

“Scrappage has generated eight consecutive months of growth in the new car market and we expect its benefits to stretch beyond the scheme’s closure later this month,” he said.

“Industry continues to face challenging market conditions, but positive trends in the fleet and business sectors suggest that negative impacts can be minimised. Strengthening business and consumer confidence remains industry’s priority.

A clear and consistent approach to CO2-based taxation and improved access to affordable credit are essential elements in sustaining recovery in the new car market.”

The UK’s top-selling car last month was Ford Fiesta, followed by the Ford Focus and the Volkswagen Golf.

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17

4 March 2010

staggering:

Hyundai-kia: almost 10% share of UK market, just a whisker behind a collapsing Vauxhall.

Mercedes and BMW flying, up almost a half and over a third respectively - why? not scrappage, so who's buying all these Mercs and Bimmers when UK is bust - final splurge of NHS' army of 1 million and other quangocrats on 'perks of the job' before the IMF turfs them all out in June? Stuttgart and Munich thanks the UK taxpayers regardless.

Honda - all over? 2% market share!?

Jag - sales off a quarter, market share of only 0.4%, down from around 1% just over a year ago. there is no way in god's world that the XF can be outselling the E-class and old 5-series when Jag in total shifted only 270 units to BMW's over 3,000 and Merc's near 2,000 units.

Lexus - ditto? 0.1% share of UK market - is it worth supporting a dealer network?

Mazda - halved market share '09 to '10. Awful.

Nissan - sales almost unchanged '09 to '10. Has the Qashqai bubble burst? Looks like it. Terible figs. during a scrappage scheme.

Renault - bounced back, why? What are they selling?

Toyota - sales up 15%! is there something in the water in UK or are people just born stupid?

VW - on course to overtake Vauxhall as UK's established 2nd brand(10% share), assuming Hyundai-Kias sales implode after scrappage. Golfs everywhere, 3rd best-selling car.

These Feb '10 figures are crazy, particularly the bounce in premium sales, like BMW and Merc.

4 March 2010

Keep in mind that this is year-on-year, and last February things were pretty dire, especially if you were a Mercedes or BMW dealer. So it's not that surprising that things are much better this year, and not that surprising that the top end has bounced back most strongly as they were hit hardest.

What would be interesting is to compare with Feb 2008 and Feb 2007, rather than Feb 2009.

4 March 2010

The SMMT’s chief executive said a consistent approach to CO2-based taxation from the government and access to affordable credit for buyers were important if sales were to continue to rise.

Road tax and company car tax are both based on CO2 emissions and the bank rate has been at its lowest level ever for the past year. If this is the best they can say it is hardly surprising that they needed the government to bail them out.

4 March 2010

[quote disco.stu]

Keep in mind that this is year-on-year, and last February things were pretty dire, especially if you were a Mercedes or BMW dealer. So it's not that surprising that things are much better this year, and not that surprising that the top end has bounced back most strongly as they were hit hardest.

What would be interesting is to compare with Feb 2008 and Feb 2007, rather than Feb 2009.[/quote]

nope, don't buy it. Firstly, sales of premium cars in Feb in Germany were flat or still falling compared to Feb 09: Audi: down a fifth; BMW: flat; Merc: down one-eigth. Same as UK, sales in early 09 in Germany were supposed to be at the bottom of the decline, but have not picked up 12 mths later, during the supposed 'recovery'. There is something else at play in UK, and it cannot be the scrappage scheme as Merc got just 18 scrappage funded sales in Feb 10 and BMW just 58.

I believe it is govt sourced funding in the final quarter of the 09/10 tax year and the general splurge of govt spending - up 6% quarter and quarter - in the run up to the expected May general election that is driving this splurge of Bimmer, Merc, and to an extent L/Rover sales. Trouble is of course that as govt. spending increases govt income is plummeting, with income tax down almost a fifth compared to the top of the cycle in late 2008. This is lovely for all the owners of their new 3-series and E-classes, almost certainly working directly in the public sector, with company cars, or in the 'third-sector' - PFIs, PPPs etc - and things like consultancy work, which is nominally private sector, but wouldn't exist without govt. spending, but after the election all this spending will be shut down, either by a new govt with an emergency Greece-style budget or a collapse of Sterling meaning a hike in interest rates and almost everyone's standard of living going through the floor. This Feb 10 car sales data will be looked back on in years to come as clear evidence of the lunacy of the running of the UK - unless of course you believe all this is a deliberate act of sabotage - the so-called 'scorched-earth' policy.

4 March 2010

[quote nicksheele]

[quote disco.stu]

Keep in mind that this is year-on-year, and last February things were pretty dire, especially if you were a Mercedes or BMW dealer. So it's not that surprising that things are much better this year, and not that surprising that the top end has bounced back most strongly as they were hit hardest.

What would be interesting is to compare with Feb 2008 and Feb 2007, rather than Feb 2009.[/quote]

nope, don't buy it. Firstly, sales of premium cars in Feb in Germany were flat or still falling compared to Feb 09: Audi: down a fifth; BMW: flat; Merc: down one-eigth. Same as UK, sales in early 09 in Germany were supposed to be at the bottom of the decline, but have not picked up 12 mths later, during the supposed 'recovery'. There is something else at play in UK, and it cannot be the scrappage scheme as Merc got just 18 scrappage funded sales in Feb 10 and BMW just 58.

I believe it is govt sourced funding in the final quarter of the 09/10 tax year and the general splurge of govt spending - up 6% quarter and quarter - in the run up to the expected May general election that is driving this splurge of Bimmer, Merc, and to an extent L/Rover sales. Trouble is of course that as govt. spending increases govt income is plummeting, with income tax down almost a fifth compared to the top of the cycle in late 2008. This is lovely for all the owners of their new 3-series and E-classes, almost certainly working directly in the public sector, with company cars, or in the 'third-sector' - PFIs, PPPs etc - and things like consultancy work, which is nominally private sector, but wouldn't exist without govt. spending, but after the election all this spending will be shut down, either by a new govt with an emergency Greece-style budget or a collapse of Sterling meaning a hike in interest rates and almost everyone's standard of living going through the floor. This Feb 10 car sales data will be looked back on in years to come as clear evidence of the lunacy of the running of the UK - unless of course you believe all this is a deliberate act of sabotage - the so-called 'scorched-earth' policy.

[/quote]

oh purlease would people stop looking for doom in every piece of news..

perhaps ppl realised that fords are now as expensive as BM's, AUDI et al...and bought the BM instead...unless you have specific evidence of public sector prestige car buying increasing, its just as likely to be all those luvverly jubbly bankers bonus' being spent..or ppl treating themselves...or a reaction to a media less intent on Recession as news as we recover...as for the german market, they were right on the start of the scrappage boom this time last year, before anything had even been set up here...now they have no scheme, so they are in the opposite situation to us 'stimulus' wise...

anyhoo ill get you a sandwich board....' the end is nigh'

4 March 2010

[quote keeforelli]

[quote nicksheele]

[quote disco.stu]

Keep in mind that this is year-on-year, and last February things were pretty dire, especially if you were a Mercedes or BMW dealer. So it's not that surprising that things are much better this year, and not that surprising that the top end has bounced back most strongly as they were hit hardest.

What would be interesting is to compare with Feb 2008 and Feb 2007, rather than Feb 2009.[/quote]

nope, don't buy it. Firstly, sales of premium cars in Feb in Germany were flat or still falling compared to Feb 09: Audi: down a fifth; BMW: flat; Merc: down one-eigth. Same as UK, sales in early 09 in Germany were supposed to be at the bottom of the decline, but have not picked up 12 mths later, during the supposed 'recovery'. There is something else at play in UK, and it cannot be the scrappage scheme as Merc got just 18 scrappage funded sales in Feb 10 and BMW just 58.

I believe it is govt sourced funding in the final quarter of the 09/10 tax year and the general splurge of govt spending - up 6% quarter and quarter - in the run up to the expected May general election that is driving this splurge of Bimmer, Merc, and to an extent L/Rover sales. Trouble is of course that as govt. spending increases govt income is plummeting, with income tax down almost a fifth compared to the top of the cycle in late 2008. This is lovely for all the owners of their new 3-series and E-classes, almost certainly working directly in the public sector, with company cars, or in the 'third-sector' - PFIs, PPPs etc - and things like consultancy work, which is nominally private sector, but wouldn't exist without govt. spending, but after the election all this spending will be shut down, either by a new govt with an emergency Greece-style budget or a collapse of Sterling meaning a hike in interest rates and almost everyone's standard of living going through the floor. This Feb 10 car sales data will be looked back on in years to come as clear evidence of the lunacy of the running of the UK - unless of course you believe all this is a deliberate act of sabotage - the so-called 'scorched-earth' policy.

[/quote]

oh purlease would people stop looking for doom in every piece of news..

perhaps ppl realised that fords are now as expensive as BM's, AUDI et al...and bought the BM instead...unless you have specific evidence of public sector prestige car buying increasing, its just as likely to be all those luvverly jubbly bankers bonus' being spent..or ppl treating themselves...or a reaction to a media less intent on Recession as news as we recover...as for the german market, they were right on the start of the scrappage boom this time last year, before anything had even been set up here...now they have no scheme, so they are in the opposite situation to us 'stimulus' wise...

anyhoo ill get you a sandwich board....' the end is nigh'

[/quote]

The German premium brands were not boosted by the German scrappage scheme, or 'stimulus' as you put it. In fact there were negatively impacted by it. Therefore, with the ending of the scheme their sales should have risen back to pre-scrappage levels, whereas, as I said, they were either flat or down, year on year, Feb 09 to Feb 10.

4 March 2010

Will scrappage go on forever?,and when it finally ends, what then?

Peter Cavellini.

4 March 2010

[quote nicksheele]I believe it is govt sourced funding in the final quarter of the 09/10 tax year and the general splurge of govt spending -[/quote]

[quote nicksheele]unless of course you believe all this is a deliberate act of sabotage - the so-called 'scorched-earth' policy.[/quote]

An example of this can clearly be seen in the construction industry. Funding allocated from 2010 to 2011 was forwarded to projects in 2009 to 2010.(Without it I would now be redundant so have mixed feelings over whether or not it was a bad thing). Problem is the budget for many large scale civils and house building project for 2010 to 11 is gone and there is no Government money to add to the fund.

As for car sales. My employer has not replaced a company car since the end of 2008, no member of staff has recieved a bonus (could be 12 weeks wages in a good year) or any merit based or cost of living salary increases in two year. Two years ago I managed 2 senior quantity surveyors, 5 assistant quantity surveyors and 2 trainees, now myself and one assistant are ticking over managing the budget for the security and maitainance of mothballed sites and pricing and tendering for the very odd contract that's cropping up (the redundant guys are either still out of work or earning considerably less than they were). It is seriously grim. I spend most of my day on this forum and playing computer games. I ain't gonna be buying a car for a while. (last two company cars a C Class and a 9-3 SAAB. now funding an MX5 on a company car opt out scheme)

So who's buying cars then? My mum for one. Retired teacher, super annuated pension trading a 9 year old Suzuki for a Hyundai i10 under Hyundai's own scappage and low cost finance scheme which is available for cars as new as 7 years old.

4 March 2010

[quote nicksheele]

[quote keeforelli]

[quote nicksheele]

[quote disco.stu]

Keep in mind that this is year-on-year, and last February things were pretty dire, especially if you were a Mercedes or BMW dealer. So it's not that surprising that things are much better this year, and not that surprising that the top end has bounced back most strongly as they were hit hardest.

What would be interesting is to compare with Feb 2008 and Feb 2007, rather than Feb 2009.[/quote]

nope, don't buy it. Firstly, sales of premium cars in Feb in Germany were flat or still falling compared to Feb 09: Audi: down a fifth; BMW: flat; Merc: down one-eigth. Same as UK, sales in early 09 in Germany were supposed to be at the bottom of the decline, but have not picked up 12 mths later, during the supposed 'recovery'. There is something else at play in UK, and it cannot be the scrappage scheme as Merc got just 18 scrappage funded sales in Feb 10 and BMW just 58.

I believe it is govt sourced funding in the final quarter of the 09/10 tax year and the general splurge of govt spending - up 6% quarter and quarter - in the run up to the expected May general election that is driving this splurge of Bimmer, Merc, and to an extent L/Rover sales. Trouble is of course that as govt. spending increases govt income is plummeting, with income tax down almost a fifth compared to the top of the cycle in late 2008. This is lovely for all the owners of their new 3-series and E-classes, almost certainly working directly in the public sector, with company cars, or in the 'third-sector' - PFIs, PPPs etc - and things like consultancy work, which is nominally private sector, but wouldn't exist without govt. spending, but after the election all this spending will be shut down, either by a new govt with an emergency Greece-style budget or a collapse of Sterling meaning a hike in interest rates and almost everyone's standard of living going through the floor. This Feb 10 car sales data will be looked back on in years to come as clear evidence of the lunacy of the running of the UK - unless of course you believe all this is a deliberate act of sabotage - the so-called 'scorched-earth' policy.

[/quote]

oh purlease would people stop looking for doom in every piece of news..

perhaps ppl realised that fords are now as expensive as BM's, AUDI et al...and bought the BM instead...unless you have specific evidence of public sector prestige car buying increasing, its just as likely to be all those luvverly jubbly bankers bonus' being spent..or ppl treating themselves...or a reaction to a media less intent on Recession as news as we recover...as for the german market, they were right on the start of the scrappage boom this time last year, before anything had even been set up here...now they have no scheme, so they are in the opposite situation to us 'stimulus' wise...

anyhoo ill get you a sandwich board....' the end is nigh'

[/quote]

can you read, dolt? The German premium brands were not boosted by the German scrappage scheme, or 'stimulus' as you put it. In fact there were negatively impacted by it. Therefore, with the ending of the scheme their sales should have risen back to pre-scrappage levels, whereas, as I said, they were either flat or down, year on year, Feb 09 to Feb 10. If you're going to patronise make sure you at least have the mental capacity to make a logical point. You, Keeforelli, amply illustrate the state of UK's weakness in education and humility. Tis better to be a fool and humble than a fool and supercilious.

[/quote]mmmm are you looking to become notorious?...possibly banned?..im not an example of any lapse in education standards...

you, on the other hand are an example of right wing arrogance/doom/mania not seen on here since the likes of....oh thats right- they were banned too..

stick to the argument, not cheap personal insults.

4 March 2010

[quote keeforelli]possibly banned[/quote]

that a threat pal? Lose the argument - or rather lose the thread of any logical lucidity - and revert to banning. You'll go far in the new East Germany, i.e. Stasi New Britain, but then from your pavlovian-like, reflex rebuttal of any mention of cuts to the bloated pig of the State it's painfully obvious you are one of its beneficiaries and stand to have your blood supply-to-parasite cut off when the spending spigot is turned off - round about June.

And it's not a matter of Left/Right, or whatever, but one of an inferior mind, unable to cope with criticism, and as to personal insult, it was you who adopted the supercilious tone, as is the wont of your character type. Your were not man enough to lay your cards on the table in the first snide attacking comment but had to instead adopt the high-handed, mocking tone which covered up an ad hominem attack rather than debate the substantive matter, as you could not factually counter my point. Any factual points welcome.

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