Skip to content
City PM
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Opinion
  • Germany
  • France
  • Europe
  • Markets
  • Business
  • Opinion
Wednesday 05 February 2020 2:14 pm  |  Updated:  Wednesday 05 February 2020 3:10 pm

UK new car sales fall in January as industry condemns 2035 ban

By: Jack Richardson

Add as a preferred source on Google
INDIA-ECONOMY-AUTO-EXPO
A general view of the Tata Motors stall at the Auto Expo 2020 at Greater Noida on the outskirts of New Delhi on February 5, 2020. (Photo by Money SHARMA / AFP) (Photo by MONEY SHARMA/AFP via Getty Images)

The number of UK new car sales fell 7.3 per cent at the start of 2020, according to industry figures released today.

Sales of new diesel cars plummeted 36 per cent year on year in January, their worst performance in 20 years, statistics released by the Society of Motor Manufacturers and Traders (SMMT) showed.

And petrol car sales also sank 9.5 per cent.

The decline was not universal, however, as the SMMT data also showed registration of alternatively fuelled vehicles, including hybrid, plug-in hybrid and fully electric cars, increased 6.8 per cent compared to January 2019.

Hybrid electric car sales jumped 20.6 per cent as almost 9,000 vehicles hit UK roads, while battery electric vehicles soared 204 per cent to 4,054 units.

In response, SMMT chief Mike Hawes, said: “The new car market is a key driver of the UK’s overall economy, so another month of decline is unsettling,” SMMT chief Mike Hawes said.

The government brought forward a ban on sales of new petrol, diesel and hybrid vehicles from 2040 to 2035 yesterday.

Read more

Starmer overrules Miliband on electric car sales targets as he looks to appease automotive industry

Ed Miliband and Keir Starmer discussing wind energy policy at a press conference, highlighting renewable energy initiatives.

The car sector criticised the decision yesterday and today the SMMT demanded clarity on how the government would support the industry.

“Consumer confidence is not returning to the market and will not be helped by government’s decision to add further confusion and instability by moving the goalposts,” Hawes said.

“Blanket bans do not help short-term consumer confidence. To be successful, government must lead the transition with an extensive and appropriately funded package of fiscal incentives, policies and investment to drive demand.”

Michael Woodward, Deloitte’s automotive sector expert, questioned the government’s decision to include hybrid vehicles in the ban.

“Hybrids have traditionally been seen as a stepping-stone to battery electric vehicles. However, with their ban from 2035 putting them in the same category as higher polluting diesel and petrol cars, the question is whether the consumer will continue to see the same benefit in moving to hybrid in the interim?” he asked.

Read more

‘Watershed moment’: EV sales soar as oil price volatility drives away petrol car demand

Chery Tiggo 4 electric vehicle showcasing sleek design and innovative features in the Chinese automotive market

Share this article

  • Facebook
  • X
  • LinkedIn
  • WhatsApp
  • Email

Similarly tagged content:

Sections

  • News

Categories

  • Business
  • Transport & Infrastructure

Related Topics

  • Automotive industry
  • Electric Cars

Trending Articles

  • Burnham tax plans spark investor rush to bank capital gains

  • Nothing fails to file accounts months after dissolution threat

  • Cruyff turn: Starmer allows pubs to stay open for England World Cup game

  • I’ve taken the best train trips in the world. Here are my 5 favourites

  • PwC joins the Canary Wharf crowd in major property shake-up

More from City PM

  • Starmer overrules Miliband on electric car sales targets as he looks to appease automotive industry

    Energy
    Ed Miliband and Keir Starmer discussing wind energy policy at a press conference, highlighting renewable energy initiatives.
  • ‘Watershed moment’: EV sales soar as oil price volatility drives away petrol car demand

    Motoring
    Chery Tiggo 4 electric vehicle showcasing sleek design and innovative features in the Chinese automotive market
  • Heatwave boost for retailers as Brits snapped up BBQs and fans

    Retail
    Sunny beach with clear blue waters, golden sands, and scattered seashells under a bright sky, ideal for a relaxing getaway.
  • ‘Difficult year’ for discount retailer B&M as profits fall almost a half

    Retail
    Culverhouse storefront showcasing modern architecture and inviting entrance on a bustling city street
  • China’s Chery poised to strike deal with Nissan to build cars at Sunderland plant

    Business
    Chery Tiggo 9 SUV exterior design showcasing sleek lines and modern features in a press kit release image
  • Pret A Manger dumps US franchise agreement after just two years

    Retail
    A busy Pret A Manger storefront with customers entering and exiting during lunchtime in a bustling city center.
  • Halfords eyes garage growth after wheels fall off cycling boom

    Retail
    Halfords store exterior showcasing signage and entrance, highlighting the brands presence in the retail automotive sector.

City PM — European politics, business and analysis.

Europe

  • Germany
  • France
  • Europe
  • UK & Ireland

Topics

  • Business
  • Markets
  • AI
  • Technology
  • Opinion
  • Energy

More

  • Politics
  • Economics
  • Fintech
  • Legal
  • Sport
  • Life

Company

  • About City PM
  • Editorial Policy
  • Corrections
  • Contact
  • Terms of Use
  • Privacy Policy
  • Cookie Policy
© 2026 City PM · Published by CityPM Media, Bahnhofstrasse 65, 8001 Zürich, Switzerland
About · Editorial Policy · Corrections · Contact · Privacy