• Wion
  • /Autonews
  • /UK car industry body cuts 2024 sales forecast on weak EV demand - Autonews News

UK car industry body cuts 2024 sales forecast on weak EV demand

UK car industry body cuts 2024 sales forecast on weak EV demand

File photo of EV.

Britain's auto industry body announced on Monday that it had revised its 2024 forecast for new car sales downward. The Society of Motor Manufacturers and Traders (SMMT) highlighted that the primary issue is the lacklustre private retail demand for electric vehicles (EVs).

The new prediction indicates that 1.97 million new cars will be sold this year, a slight decrease from the earlier forecast of 1.98 million units. This adjustment comes despite a 2.5 per cent year-on-year increase in new car sales in July, which totalled 147,517 units and marked the 24th consecutive month of growth, according to SMMT data.

The SMMT noted that with a requirement for zero-emission vehicles to make up at least 22 per centof each brand's new car registrations over the entire year, there needs to be a significant acceleration in the transition to these vehicles. However, the organization expressed concern that this faster transition appears increasingly unlikely given the current market conditions.

The SMMT also revised its annual forecast for the battery electric vehicle (BEV) market share, reducing it from the previous estimate of 19.8 per cent to 18.5 per cent.

In a statement, SMMT chief Mike Hawes emphasized that the overarching concern remains the weakening private retail demand for EVs, even in the face of substantial manufacturer discounts.

Trending Topics