Commenting on the latest figures from the SMMT which showed new car registrations enjoyed something of a bounce in May 2021, Andrew Burn, managing director and head of automotive at Interpath Advisory, said:
“The latest registration figures will come as great relief to the sector given the tumultuous challenges it is grappling with. The numbers reflect the first full month of showroom openings, with volumes back to circa 2012 levels. The question now is where volumes will settle once we have moved beyond the pandemic and the new norms are established.
“Ignoring the like-for-like monthly comparisons given the potential distortions in the data, pure electric and petrol mild hybrids seem to be continuing to gain traction. What is unclear is whether this is being driven by consumer demand or the impact of the ongoing semiconductor challenges, and whether these models are being preferred by the manufacturers in order to drive structural change in the sector. In reality, I suspect it to be a combination of the two.”