LCV Sales fall dramatically in January

Sales of new light commercial vehicle (LCV) fell dramatically by -26.9% to 17,566 registrations in the first month of 2022 compared with a great January last year, according to the latest figures released by the Society of Motor Manufacturers and Traders (SMMT).

These low registration figures are the worse since 2013, although the SMMT point out that “January has historically been a volatile month due to the intermittent nature of fleet renewal”. It also has to be remembered that the month to month comparison is slightly confusing as January 2021 was the best January for 31 years.

Newly registered small vans, weighing less than or equal to two tonnes, more than halved at -53.9%, while medium-sized vehicles over 2.5 tonnes, representing two-thirds of the LCV market, fell by -29.8%. Pickup truck sales also declined, by -17.4%, but 4x4s recorded a 196.8% increase, though they remain a fractional segment.

Diesel v Electric

There’s no doubt that diesel still remains the dominant fuel with a 94.3% market share, but demand for battery-powered vans grew 21.4% with 647 units registered, some 3.7% of the overall market. The SMMT are predicting battery electric vans will climb significantly during 2022 as a result of key new model launches, by 81.3% to 23,130 units, which would represent 6.4% of the market, compared with 3.6% or 12,759 units in 2021. This means roughly one in 16 new vans will be fully electric in 2022.

Best Sellers

This years best sellers of 2022 continue the theme from 2021 with the Ford Transit Custom and the larger Ford Transit dominate the sales figures, selling combined more than the next three models. Interestingly there are two pickups in the top ten with the Ford Ranger is fourth selling a very commendable 1314 units and the Toyota Hilux sneaked into tenth position selling 557 units.

Mike Hawes, SMMT Chief Executive, said, “Despite the slow start, the van market is expected to post another strong year. While chip shortages, rising inflation and increased energy costs will have an impact, growth is still anticipated given the inexorable rise of home deliveries and broader economic recovery. With more battery powered vans coming to market, the demand for these new technologies seen in January is likely to continue across the year. With uptake rates still lagging the new car market, which has the same end of sale date, the importance of bringing every lever – purchase incentives, fiscal measures and recharging infrastructure investment – to bear on this critical sector is self-evident.”