Used car market down 14.9% in 2020

9 February 2021  

Repeated lockdowns and shaky consumer confidence have been identified as key reasons for used car sales dropping by 14.9% in 2020 according to the latest figures from the SMMT. 6,752,959 second-hand cars were sold during the year, 1,182,146 less than in 2019, making 2020 the slowest year for the second-hand market since 2012.

While sales were actually up 3.7% in October, which was the fourth month of consecutive growth, renewed restrictions at the end of year pushed sales back down by 18.3% in November and 4.2% in December. Overall Q4 transactions were down 6.2% at 1,693,138.

Within the total, alternatively fuelled vehicles (AFVs) were up 5.2%, with 144,225 sold taking their market share to 2.1%. Battery electric vehicles (BEVs) went up 29.7% to 19,184 units, representing 0.3% of the total. The market for hybrids (HEVs) also rose, by 4.7%. Meanwhile, demand for plug-in hybrids (PHEVs) fell by 5.0%. Diesel and petrol sales fel by 15.5% and -15.2% respectively.

Commenting on the figures, SMMT Chief Executive Mike Hawes said, “These figures are yet more evidence of the significant damage coronavirus has caused the automotive sector. Market growth at the start of the year was welcome but quickly stifled by the first lockdown as showrooms closed across the country, a picture that was repeated with the subsequent lockdowns in November and, indeed, into 2021.

“The priority now must be to allow car showrooms to re-open as soon as restrictions are eased. This will not only help the used market recover, supporting jobs and livelihoods and providing individuals with the personal mobility they need at a time when guidance is against using public or shared transport, but it will also enable the latest and cleanest vehicles to filter through to second owners and keep society moving.”