Car buyers ‘waiting for deals’
Nearly a third of new-car buyers are delaying their next vehicle purchase in the hope that the government will introduce new purchase incentives.
This is according to exclusive research by What Car?, which surveyed 6,632 in-market new car buyers. It found that 29% said they were holding back on buying a new car in case a taxpayer backed “scrappage scheme” is introduced.
Meanwhile, nearly 19% said they have changed the brand they were considering pre-lockdown, and 25% have decided that smaller is better, so will be downsizing.
Speculation over a new “green” scrappage scheme that would promote the uptake of environmentally friendly cars has been ongoing in the UK after governments in France and Germany introduced stimulus packages to boost their economies.
What Car? editor Steve Huntingford said: “Governments across Europe are introducing initiatives and incentives to protect and stimulate the automotive industry in the wake of the Covid-19 pandemic. Despite growing speculation around a green scrappage scheme in the UK in over recent weeks, nothing has yet been confirmed.
“While our research and web traffic data suggests demand is increasing in June, the industry will need support once the initial post-lockdown surge has subsided. Figures from the SMMT [Society of Motor Manufacturers and Traders] suggest we are heading for one of the worst years in history for new car sales, so a Government-backed initiative to encourage motorists to trade-in older, higher-polluting models, could provide a welcome boost to the industry – just as the Scrappage Scheme did in 2009 after the previous year’s financial crisis.”
