U.K. Sales Outlook Brightens on Strong April

The U.K. auto industry boosts its full-year sales forecast as deliveries rise 8.2% in April to 176,820 units, marking the 26th consecutive month of growth.

With year-to-date volumes up 12.5% to 864,942 units, the Society of Motor Manufacturers and Traders says continuing improvements in economic conditions are boosting consumer confidence.

SMMT CEO Mike Hawes says U.K. gross domestic product is continuing to pick up, inflation is falling and wage levels are improving.

“We have revised our 2014 forecast up from 2.3 million (units) to more than 2.4 million,” Hawes says in a statement. “This represents an increase of more than 6% vs. last year.”

Ford dominates the sales table, as the Fiesta maintained its role as the leading U.K. model, delivering 10,250 units in April (up 26.8%). The Ford Focus remained in second place with 6,772 units.

The VW Golf moved into third place for the month with 5,302 units, but remained in fourth place for the year behind the Vauxhall Corsa, with sales of 3,949 in April.

Paced by the Fiesta and Focus, Ford recorded year-over-year increases in total vehicle sales and share in the month, extending its lead over its nearest rival to more than 11,000 units year-to-date.

Ford’s April sales of 31,055 units gave it a 15.5% market share, up 0.6 points from a year earlier with new passenger-vehicle deliveries up 16.5% to 25,843 units. After four months, Ford sales are up 13.3% to 120,719 units.

U.K. commercial-vehicle deliveries fell 4.2% in April to 23,338 units but remained up 7.3% year-to-date with 110,829. The Ford Transit and Transit Custom were the CV sales leaders.

Van demand edged down 0.6% in April to 20,620 units, but is up 12.2% year-to-date to 100,537, prompting SMMT to raise its full-year forecast 11.2% to 301,320 units.

The group says the truck sector continued to feel the effects of emissions-standards changes, with volumes down 24.9% in April to 2,718 units for a 4-month total off 24.8% to 10,292.

“Ongoing robust demand for vans continued the year-to-date trend in line with SMMT's revised van forecast for 2014, a forecast that should see the market grow more than 11% on 2013,” Hawes says.

“The overall market remained subdued, however, as the Euro-6 lag continued for trucks. Demand for (heavy commercial vehicles) is likely to remain behind 2013 all year, but volumes should recover as we approach midyear.”