After the 5th successive monthly fall in New Car Registrations in the UK, with November 2010 seeing an 11.5% fall against November 2009.
Is it really as bad as it seems, are we heading for a double dip recession led head first by the car industry?
The headline figures would certainly suggest that, but dig a little deeper and things start to look a lot more rosy, well you can see the bulbs at least.
Last years figures are heavily distorted, largely due to the government scrappage scheme. Anyone with a car older than 10 years old, could get £1000 from the government, this was then matched by the manufacturers with another £1000. If truth be told the cars sold in the scrappage scheme more often than not were the low end of the market. People trading in a 10 year old car were very unlikely to buy a BMW 3 series or Audi A4, but very likely to buy a Fiat Punto or Vauxhall Corsa. If the effects of the scrappage scheme was stripped out then actual like for like sales would show something like a 14% increase according to the SMMT.
Fleet sales are up 6% with many companies trying to upgrade their fleets before the VAT rate rises to 20% in January. Also as many of the cars produced in the UK are now exported to Europe further good news in that actual car production was up 31% against the same period in 2009.
So lets look at the positives:
Higher value cars now being sold versus the low value cars in the scrappage scheme.
Like for like sales up 14%
Fleet sales up 6%
Exports up 31%
Exports up 31%
In 2011 used cars will be in high demand, both from the public and dealers wanting to supply those cars, if you are thinking I want to sell my car, make sure you go to the right place and get a few valuations on your car before committing to anything!
Car Arena will work hard to get you the best possible price for your car.