Business

North's car sales reverse to seven-year low

The Ford Fiesta was the most popular new car sold last month
The Ford Fiesta was the most popular new car sold last month The Ford Fiesta was the most popular new car sold last month

NEW car sales in the north have suffered from a summer reverse after June registrations slumped to their lowest level in seven years.

The latest figures from industry body the Society of Motor Manufacturers and Traders (SMMT) shows new car sales fell by 6 per cent last month in comparison to June 2018. A total of 5,170 undriven models left showrooms, representing the weakest June performance in seven years.

In the first six months of 2019 30,837 new cars have been sold, a marginal decrease on the same period last year (30,992), but the lowest total since 2013.

The slump in Northern Ireland sales in June is the most pronounced of all UK regions and mirrors the overall market, which reported a 4.9 per cent decline compared to the same month last year.

This was largely driven by England, where registrations fell by 5.7 per cent. Wales bucked the trend recording a 5.7 per cent uplift in new car sales, while the market in Scotland was relatively unchanged.

The Ford Fiesta was the most popular new car sold in Northern Ireland last month, with 175 registrations, followed by the manufacturer's Kuga model (147) and the Volkswagen Golf (145). The Nissan Qashqai (135) and Hyundai Tucson (119) completed the top five.

The Ford Fiesta is also the most purchased vehicle in the north so far in 2019 (919 registrations), with the Volkswagen Golf (919) and Ford Kuga (779) swapping positions in the top three.

Ulster Bank chief economist, Richard Ramsey said the June data is a mixed bag.

"The latest figures follow the best May in 11 years and a mediocre April. As a result, the second quarter still posted a respectable 2.7 per cent year-on-year rise and the strongest Q2 in three years."

"Taking a look over the longer-term reveals a familiar trend – new car sales in Northern Ireland have been broadly flat or falling for the last five years," he added.

The June figures also reveal that UK sales of alternatively fuelled cars have fallen for the first time in more than two years.

Some 13,314 of the cars were registered last month, down 11.8 per cent on the 15,099 registered during June 2018.

Meanwhile sales of diesel models dropped by 20.5 per cent and petrol vehicles saw a 3 per cent rise.

SMMT chief executive Mike Hawes described the fall in sales of alternatively-fuelled cars as a "grave concern".

"Manufacturers have invested billions to bring these vehicles to market, but their efforts are now being undermined by confusing policies and the premature removal of purchase incentives.

"If we are to see widespread uptake of these vehicles, which are an essential part of a smooth transition to zero-emission transport, we need world-class, long-term incentives and substantial investment in infrastructure," he added.

June's top-selling models in Northern Ireland were:

1 Ford Fiesta

2 Ford Kuga

3 Volkswagen Golf

4 Nissan Qashqai

5 Hyundai Tucson

6 Ford Focus

7 Toyota Yaris

8 Volkswagen Tiguan

9 Hyundai i10

10 Renault Captur