16 November 2000
A decline in fleet purchasing is to blame for a fall in new car registrations, according to UK car manufacturers.
Fleet sales were 13.8 per cent down in October on the same period last year, which offset a 14 per cent resurgence in private sales. "Together with the disruption caused by the move of the Rover 75 from Oxford to Longbridge, new car registrations fell by 26.9 per cent," said a Rover spokeswoman.
Jaguar, BMW and Land Rover, which saw registrations drop by 16.4 per cent, 21 per cent and 8.4 per cent respectively, also blamed a decline in fleet buying.
Cash-for-car options are one reason for the fall, according to industry experts."People are beginning to question whether they need a brand new, top-of-the-range car when they could take a cash option, buy a second hand car and have an extra holiday," said Steve Fowler, editor of What Car? magazine.
He predicted that fleet sales would continue to fall.