New car sales in Northern Ireland continued to climb last month, shrugging off cost of living concerns as the supply chain issues which have dogged the market in recent years waned.
The Society of Motor Manufacturers and Traders (SMMT) reported that 3,314 new cars were registered in the province in August, a jump of over 300 on the same month last year. The increase is counter to expectations for a drop in spending on big ticket items amid the current squeeze on household finances as a result of increasing interest rates and inflationary pressures.
The latest increase brings the total number of new cars registered in the first eight months of the year to 31,574, an increase of some 17% on the same period in 2022.
That chimes with similar moves in other Ƶ regions and has been put down to pent up demand which had been stifled due to long lead times from manufacturers in the aftermath of the Covid-19 pandemic.
Across the Ƶ new car sales grew by nearly 25% last month, a surprise according to the SMMT given most buyers tend to wait until September for a new number plate change.
Mike Hawes, SMMT Chief Executive, said electric vehicles are driving the market, but government must do more to encourage drivers to make the switch.
“With the automotive industry beginning a second year of growth, recovery is underway with EVs energising the market,” he said. “But with a new Zero Emission Vehicle Mandate due to come into force in less than 120 days, manufacturers still await the details.”
“Businesses cannot plan on the basis of consultations, they need certainty. And now, more than ever, government must match action to ambition, ensuring there are the incentives and infrastructure in place to convince drivers to make the switch.”
When it comes to marque, the Hyundai Tucson has proven the most popular new car sold in Northern Ireland this year with 949 sets of keys handed over. That is followed by the Ford Puma in second place with 836 and the Kia Sportage with 775.
