The UK’s used car market contracted 14.9% last year, making 2020 the worst year for sales since 2012, according to new data from the Society of Motor Manufacturers and Traders (SMMT).
As lockdown measures which hoped to curb the spread of the coronavirus pandemic dampened consumer confidence, 1.18m fewer car transactions took place when compared with 2019.
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Despite consistent growth from July to October, tougher national restrictions in November hampered demand, ending the year with a fall of 18.3% and 4.2% in November and December respectively.
Combined Q4 transactions fell by 6.2% to 1.69m units, representing a disappointing end to a tough year for the industry.
Commenting on the results, Mike Hawes, SMMT chief executive, said: “These figures are yet more evidence of the significant damage coronavirus has caused the automotive sector.
“Market growth at the start of the year was welcome but quickly stifled by the first lockdown as showrooms closed across the country, a picture that was repeated with the subsequent lockdowns in November and, indeed, into 2021.”
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By GlobalDataAccording to the data, all used car segments experience declines. Used diesel car transactions fell by 15.5%, while transactions for petrol vehicles fell by 15.2%.
Conversely, alternatively fuelled vehicles saw an increase of 5.2% of models sold, or 144,225 units, and with market share growth of 2.1%.
Transactions for battery electric vehicles increased by almost 30% to 19,184 units. Alongside this, the market for hybrids also rose by 4.7%. Demand for plug-in hybrids, however, fell by 5%.
Superminis remained the most popular choice of model in 2020, representing 32% of all transactions with 2.2m units purchased. Lower medium cars were the next most traded segment, occupying a 27% market share with 1.8m sales.
As a nationwide vaccination programme is rolled out, Hawes explain the crucial next steps in the industry’s rebound: “The priority now must be to allow car showrooms to re-open as soon as restrictions are eased.
“This will not only help the used market recover, supporting jobs and livelihoods and providing individuals with the personal mobility they need at a time when guidance is against using public or shared transport, but it will also enable the latest and cleanest vehicles to filter through to second owners and keep society moving.”
