Finally some encouraging news for everyone; particularly those looking for a new car!
According to latest statistics, there has been a steady rise in car sales in the United Kingdom, a very encouraging sign that things are starting to improve, particularly the ailing economy. The new couldn’t have come at a better time, when Hybrid cars are all the rage and more and more people are thinking about eco-friendly fuel efficient cars instead of the gas guzzling alternatives.
The Society of Motor Manufacturers and Traders (SMMT) who have been keeping a close eye at the UK’s auto industry reported that there were around 66,749 new registrations in the month of January. Compare that number with statics exactly one year ago, there is a substantial increase; 7.9% to be exact indicating a green signal for the growth of auto industry.
The United Kingdom was one of the top countries that was badly afflicted by the recession. The impact affected numerous industries, countless individuals, throughout the region. The car industry was one of them. The crisis left it almost paralysed, leaving the car industry struggling to keep up as the unemployment rate climbed. However, the latest statistics indicate that things are turning for better as the automotive industry is showing encouraging growth. This growth is by no means ordinary; Car sales have increased for the 12th successive month in January capping off a perfect 2013 for the automobile industry.
People are already questioning this amazing turn around but it’s not that hard to guess. Everything in interconnect but it all stems from two things; jobs and savings. People who have jobs are people who are earning money; enough of it to eventually start thinking about buying things over time. A car is by all means a substantial investment. It more than pays for itself as it becomes an integral component of a person’s day to day life. People buying cars is a sign they are confident enough to make that investment given the job market and stock market trading.
But that’s now all. There is more to the good news.
The rise has overwhelmed the manufacturers and they are trying to contribute in every way to give a boost to the industry. SMMT also reported that it took total sales of 210,039 for 2013, which is a whopping 10.3% increase and caps off a 4 year high for the industry. The car buying trend has picked up and people are putting themselves in the hot seat. Keep in mind that these numbers indicate both new cars and used cars. Used cars in particular showed double the growth compared to new models which makes sense. People are more inclined to play it safe and own a nice, reliable, efficient used car, then get a zero metre brand new vehicle. Moreover, hybrid cars cost less than non-hybrid models further making the case for people on a limited budget to get behind the wheel.
Even though January is usually a low volume month because people spend most of their money on Christmas and New Year but SMMT is predicting that this rise in car buying trend will continue well into this year as well. New car deals and great bargains are keeping the market afloat. It was observed that the compact and mini cars sold out much faster than other models.
Sadly there wasn’t good news to go around everywhere. While the UK did experience positive growth, things in the Europe as whole remain a cause of concern. The picture was not rosy for the European vehicle sales, as they slumped 8.2% in 2013 much to the dismay of businesses analysts and pundits. SMMT reported that UK factories produced 1.46 million cars in 2012 alone and out of them 1.21 million were sent abroad. The consumer’s confidence is the most important thing to maintain and with the steady and positive growth in automotive industry. As far the United Kingdom is concerned, it looks like finally things are turning the other way and the UK auto industry has started moving forward defying all the obstacles.
One thing is for sure though. 2014 will be an incredibly important month for the auto industry. If this momentum from 2013 keeps up, it will positively impact other sectors as well and could very well make 2014 the decisive year not just for the United Kingdom but also for the European Region.