Surge in Used EV Demand Amid Ongoing UK Car Shortage

Greetings, Net Zero News Community,

In an exciting turn of events for the electric vehicle (EV) market, demand for used EVs has surged to unprecedented levels this September, according to a recent report by Indicata. The figures reveal that electric vehicles captured an impressive 8.2% share of the UK’s used car market, marking a noticeable increase from the 7.6% share recorded in July. This upward trend underscores a growing consumer preference for zero-emission vehicles as the nation strides towards a greener future.

In contrast to the rising tide of electric vehicle sales, other powertrain categories experienced stagnation or declines. Notably, petrol vehicles saw a slight uptick, gaining a mere 0.4% to account for 46.3% of the used car market. This shift emphasizes the changing landscape of consumer preferences, where sustainability begins to take precedence over conventional fuel options.

Indicata’s latest Market Watch report has also revealed a significant drop in the Market Days’ Supply (MDS) for EVs, which fell to a record low of just 44 days in early September. This metric, calculated by dividing the current inventory supply by the average daily retail sales rate over the past 45 days, indicates a robust consumer demand and swift sales for electric vehicles. A lower MDS figure is a clear sign that used EVs are flying off the lots, as consumers increasingly opt for greener transportation solutions.

Dean Merritt, Indicata’s head of sales, highlighted the positive momentum within the used EV sector, noting that the company’s wholesale MarketPlace platform has witnessed a steady rise in dealer demand for used EVs throughout the summer months. “It is another positive step forward for the used EV sector,” Merritt affirmed, emphasising the industry’s commitment to meeting the needs of an environmentally conscious consumer base.

Despite the promising growth in used EV sales, the UK market continues to grapple with a shortage of available used cars. This ongoing issue stems from the aftermath of restricted new car sales during 2021 and 2022, a consequence of the Covid pandemic. The MDS figure for the UK currently fluctuates between 43 and 49 days, marking the lowest levels seen since June 2021, a time when the automotive industry was still reeling from the impacts of the pandemic.

“The industry has been looking to a strong September new car market to help kickstart a growth in used car volumes,” Merritt explained. “However, it looks as though it will be some time before supply fully meets demand. In the meantime, prices are likely to continue to rise.” This observation echoes the sentiment amongst many industry experts who foresee ongoing challenges in balancing supply with the increasing appetite for used electric vehicles.

As we delve deeper into the implications of these trends, it becomes evident that the shift towards electric mobility is not merely a fleeting movement but a significant transformation of the automotive landscape. With the UK government’s steadfast commitment to reaching net zero emissions by 2050, the momentum behind electric vehicles is set to accelerate. As consumers become more environmentally aware, the demand for sustainable transportation options is likely to continue its upward trajectory, making the current surge in used EV sales a pivotal moment in the journey towards a greener future.

Moreover, the rising popularity of electric vehicles is accompanied by an increasing variety of models available in the used market, catering to diverse consumer preferences. From compact city cars to spacious family vehicles, the choices are expanding, making it easier for potential buyers to find the right fit for their needs while also contributing to a more sustainable planet.

The fastest-selling used cars in the current market are all electric, with models such as the BMW i3, Tesla Model 3, and Mercedes EQB leading the charge. This trend not only highlights consumer interest in electric mobility but also signals to manufacturers that the demand for innovative, sustainable vehicles is here to stay.

As we look ahead, it is crucial for both consumers and industry stakeholders to stay informed about the evolving landscape of the automotive sector. The shift towards electric vehicles is not just about individual choices; it represents a collective move towards sustainable living and a more responsible approach to transportation. As net zero advocates, it is our responsibility to encourage and support this transition, ensuring that the infrastructure and policies in place facilitate a smooth shift to greener alternatives.

In conclusion, the record demand for used electric vehicles in September serves as a beacon of hope and progress in the fight against climate change. The automotive industry is at a pivotal juncture, and as more consumers choose electric vehicles, we inch closer to a sustainable future. Let us continue to champion this movement, advocating for the necessary changes that will enable us to achieve net zero emissions and safeguard our planet for future generations.

Stay tuned for more updates and insights as we navigate this exciting journey towards a cleaner, greener world!