UK new car registrations declined by 3.4% last month – unusual as March is one of two 'plate change' months.

As expected, the Society of Motor Manufacturers and Traders (SMMT) blamed political and economic uncertainty and "continuing confusion over diesel" for the slump.

"March is a crucial month for the new car market, as the plate change drives buyers into showrooms, with new car demand often seen as a bellwether for consumer confidence and the health of the wider economy," SMMT said in a statement. 

Demand fell in both the private and business sectors, with registrations down 2.8% and 44.8% respectively, while fleet demand was stable, up 0.3%.

Declines were seen across almost every vehicle segment, including popular Dual Purpose (1.8%) and small family cars (4.0%). However, superminis – think Ford Fiesta or Vauxhall Corsa, Britain's favourite vehicle type – saw a 4.3% increase in demand, taking a third (33.7%) of all registrations.

Following the trend of recent months, diesel registrations fell 21.4% while petrol demand grew 5.1%. Meanwhile, demand for alternatively fuelled vehicles (AFVs) increased by 7.6% with 25,302 registered, the biggest March volume to date.

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

With almost 40 plug in models on the market in the UK, and over 20 more expected to arrive in 2019, demand for such new technology is expected to continue to grow. 

Mike Hawes, SMMT chief executive, said: "March is a key barometer for the new car market, so this fall is of clear concern. While manufacturers continue to invest in exciting models and cutting-edge tech, for the UK to reap the full benefits of these advances, we need a strong market that encourages the adoption of new technology. That means supportive policies, not least on vehicle taxation and incentives, to give buyers the confidence to invest in the new car that best meets their driving needs."