Britons could save thousands on their next car by following one simple tip, according to a financial expert.
It comes as the UK car market shows new signs of life, with new car registrations up by almost a fifth in the past year, according to the Society of Motor Manufacturers and Traders (SMMT).
The UK’s electric vehicle market in particular has taken an upturn, with monthly sales reaching their highest ever level in March, according to the group.
GB News Economics and Business Editor Liam Halligan says there is “downward pressure” on car prices, meaning consumers could be in for a pleasant surprise when buy their next car.
He told Patrick Christys a simple tip for when they next look to invest.
“Wait. I would wait. Why would I do that? The UBS said that there is ‘high risk of overproduction and growing pricing as a result. The price war has already started unfolding in the EV (electric vehicle) space, and we expect it to spread into the combustion engine segment’.
“This means that a lot of the supply chain issues that we saw during lockdown are now starting to ease, and it’s feast or famine.
“We had too few cars and soon we’re going to have too many, meaning we’re getting ahead of demand because of a big surge in production.
Car prices could be falling in the coming months, according to Liam Halligan
PA“This is hitting a consumer market around the world which has been getting a bit spooked by interest rate rises and bank wobbles.
“So what UBS is saying is if you’re interested in buying stocks and shares in the car sector, there is going to be pricing pressures downward.
“This means lots of cars but not enough demand to soak up that supply, this means prices will come down.
“We’re already seeing this in the electric vehicle space, the price of Teslas is already coming down.
“So I would say, if you’re trying to buy a car, just hold your horses a bit as this surge of production comes to the fore.”
Battery car sales were 19 per cent higher in March in comparison to a year earlier, with an incredible 46,626 vehicles sold.
Fears have grown over the shortage of chargers, with figures released in February by the SMMT showing just one new public charger was built for every 53 electric cars sold last year.
According to Government statistics, around 37,000 public chargers across the country were available around the country at the start of 2023.
The Committee on Climate Change has sugared that 280,000 chargers will be required in order to meet demand in 2030, when non-hybrid petrol and diesel cars will no longer be legally sold.
