Autofacts, the automotive unit of PricewaterhouseCoopers (PwC), has claimed the boost in UK new car registrations above expectations is being fuelled in private retail sales, up 23.9% year-on-year in October, rather than business or fleet orders.
PwC automotive partner Phil Harrold commented that there was "no doubt it is the private buyer supporting the UK market" and suggested retail consumers are increasingly looking for smaller models such as the Mini and Fiesta that are cheap to run and easily-manoeuvrable.
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The suggestion echoes observations made by Experian and at the Finance & Leasing Association annual used car seminar this year regarding the increased popularity of smaller cars.
European counterparts
Analysis by PwC also shows the UK market is continuing to outstrip its European counterparts: UK car registrations climbed by 12.1% to 151,252 in October, representing a year-to-date growth of 5.0%, whilst the equivalent figure for the EU + EFTA market fell by 6.9% to 10.7 million units.
PwC attributed the growth to the UK market rising in confidence, avoiding some of the negative impact of the Eurozone crisis as the nation moves out of recession.
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By GlobalDataPwC analysts now forecast demand for new cars will exceed two million units this year in the UK, on a par with the revised estimation by the Society of Motor Manufacturers and Traders.
