U.K. Sales Down Seventh Straight Month in October

The U.K. new-car sales slump accelerated in October, diving 12.2% to 158,192 units.

It was the seventh year-on-year monthly loss in a row and the industry blames government confusion leading to falling confidence in both business and private circles.

The Society of Motor Manufacturers and Traders says declines were seen across all sectors, with business and fleet demand down 26.8% and 13.0%, respectively, and 10.1% fewer private buyers.

The tiny alternatively fueled vehicle segment rose 36.9% to 8,244 units and gasoline-model sales rose 2.7% to 87,599.

However, these gains were unable to offset heavy losses in the diesel segment, as continuing consumer concerns resulted in its biggest hit yet, with demand down 29.9% at 52,349 units.

Year-to-date deliveries were down 4.6% at 2,224,603 units and the SMMT’s latest forecast now is for a 4.7% full-year drop to 2.565 million units.

SMMT CEO Mike Hawes says declining business and consumer confidence is affecting demand in the new-car market, and this is being compounded by confusion over government policy on diesel.

“Consumers need urgent reassurance that the latest, low-emission diesel cars on sale will not face any bans, charges or other restrictions anywhere in the U.K.,” Hawes says in a statement.

“We urge the government to use the forthcoming autumn budget to restore stability to the market, encouraging the purchase of the latest low-emission vehicles as fleet renewal is the fastest and most effective way of addressing air-quality concerns.”

The Ford Fiesta led the month with 7,256 sales for a 10-month total of 83,070. Volkswagen’s Golf sold 5,547 units in October and held second place for the year thus far at 62,585. Ford’s Focus followed with 5,503 deliveries in October, giving it 62,029 year-to-date.

The lack of business confidence also depressed demand for light-commercial vehicles, with October sales falling 7.4% to 24,968 units. The SMMT says year-to-date sales were off 3.5% at 307,647 units.