Sales of used electric vehicles reach record highs – but rest of the market feels full impact of stock shortage

Sales of used electric vehicles reach record highs – but rest of the market feels full impact of stock shortage
According to a new report published by the Society of Motor Manufacturers and Traders (SMMT), used battery electric vehicle (BEV) demand reached record levels in Q3, as sales grew by 44.1% to 16,775 vehicles.

However, the UK used car market saw transactions fall 12.2% in Q3, with only 1,785,447 vehicles changing hands.

This is the second consecutive quarter of decline as new car supply shortages are being blamed for the drop in sales.

This is the first time that Q3 transactions have fallen below two million since 2015.

The SMMT believe that semiconductor shortages that are impacting a healthy supply of stock is the core issue.

This is further shown in the year to date information, as sales are now down 9.7% to 5,319,482 compared to the previous year.

Despite the challenges facing the wider industry, there is positive news for the electric vehicle market.

Used BEV sales have now reached 48,032 in the year to date (January to September 2022).

The market for used hybrid electric vehicles (HEVs) also grew, up 2.5% in the quarter with 41,479 transactions.

In total this year, 119,722 have been sold.

Plug-in hybrid (PHEV) sales dropped 5.8% to 13,899 in Q3. However, total transactions have risen 7.1% since January to a total of 44,724.

As a result, the EV industry has now reached a 4% market share in the third quarter. This has increased from 3.3% in 2021.

Mike Hawes, SMMT Chief Executive, said: “Given the short supply of new cars due largely to sustained chip shortages, a declining used car market comes as little surprise, although it’s great to see a growing number of used buyers able to get into an electric car.

The demand is clearly there and to feed it we need a buoyant new car market, which means giving buyers confidence to invest.

“Next week’s Autumn Statement is an opportunity for the government to make a long-term fiscal commitment to zero emission motoring, including adequate public charging infrastructure, which, especially given the economic headwinds, would go a long way to stimulating the market and delivering both economic and net zero progress.”

Have you joined the EV revolution? Or are you tempted to make your next can an electric one? Leave your comments below.

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