January rise sees 2015 new UK car registrations off to strong start

• Positive start to the year for new car market as registrations grew 6.7% in January to 164,856 units – the strongest January since 2007.
• Record growth period for whole market continues: January marked the 35^th consecutive month of rises.
• Growth in company car registrations particularly strong, up 18.1%* on January 2014.
• 4,598 alternatively-fuelled vehicles registered in January, up 60.8% on last year’s figure of 2,859.

Mike Hawes, SMMT Chief Executive, said, “These figures mark an encouraging start to the year after a very strong 2014, with a strikingly robust company car market as businesses take advantage of the attractive finance offers currently available.

“January saw increased uptake of both petrol and diesel cars, while demand for alternatively-fuelled vehicles continued its surge with registrations rising by 60.8%. Registrations of plug-in vehicles were particularly strong as consumers responded to a greater choice of makes and models delivering lower running costs.

“Last year’s 9.3% rise in the overall market was fuelled by stronger than expected economic confidence and, for 2015, we expect to see some levelling off throughout the year: demand is back to pre-recession levels following record-breaking growth.”

Analysis: UK new car fleet registrations

• *January’s 18.1% rise in fleet registrations was the strongest increase since December 2013.
• Fleet registrations have been increasing consistently since 2012 as UK business confidence has bounced back since the resession. Just 882,415 cars were registered to fleets in 2009; this grew to 1,178,416 in 2014.
• Currently, the strong pound means that manufacturers can offer attractive finance packages to fleet buyers in the UK.
• 2011 was a strong year for fleet registrations: with most companies on a three-year replacement cycle, cars registered at that time are now due to be replaced.

N.B. A fleet registration refers to a vehicle registered to a company operating 25 or more vehicles.

Click through to download the January 2015 new car registrations news release, data table and image.