Strong car sales growth for JLR in 2023

Land Rover sales were up 23.6 per cent on 2022 at 53,388 with Jaguar rising 17 per cent to 14,235.

Nationally the number of new cars registered in the UK grew by around 17.9 per cent last year to1.9 million according to the Society of Motor Manufacturers and Traders.

MG, which is based at Longbridge but has its cars made abroad, saw a 59.2 per cent rise to 81,289.

Volkswagen was the UK's top brand in 2023 with sales of 162,087 – up 27.9 per cent. It was also the top seller in December at 12,263 but was down 6.5 per cent on a year earlier.

JLR, which makes its engines and electric drive units at the i54 north of Wolverhampton, saw sales rise in December. Land Rover sales rose 74.3 per cent to 4,519 and Jaguar was up 17.4 per cent to 1,068. MG sales soared 131.1 per cent to 6,765.

The Tesla Model Y was the top-selling model in December at 4,816 with the Ford Puma topping the table for the year at 49,591.

Mike Hawes, chief executive of the SMMT, described the UK increase as "a very positive result", particularly considering the "relatively negative economic backdrop".

The rise from 2022 was driven entirely by businesses investing in large fleets with demand from private consumers remaining stable at around 818,000 units.

Uptake of battery electric new cars reached a record level last year with 315,000 units but their market share was similar to the previous 12 months, at 16.5 per cent.

The SMMT is forecasting that the number of new cars registered in the UK in 2024 will reach 1.97 million.

Mark Oakley, director of AA Cars, said: “The new car market ended 2023 on a high having weathered a turbulent economic backdrop, with total sales finishing nearly 18 per cent higher than 2022.

“The industry should celebrate a remarkable 17 straight months of rising sales, buoyed by the increasing number of new cars rolling off production lines and strong demand from drivers. Further falls in inflation should strengthen consumer confidence in 2024, helping brighten the prospects for dealers in the year ahead.

“However to keep the momentum going, manufacturers must continue to adapt to changing trends and the increasing take-up of EVs."

Alex Buttle, co-founder of used car marketplace Motorway.co.uk, commented: “Overall, 2023 was a super-strong year for the car industry with new car sales growing month on month, despite the challenging economic conditions. While this can be partly explained by the post-pandemic backlog of demand the industry was finally able to fulfil, fleet sales have also been a major contributor to this sustained growth – especially for EVs, with many businesses taking advantage of generous tax incentives.

"We are likely to see even more businesses choose electric this year thanks to these incentives. And if the government could offer similar incentives to private buyers, we will see EV sales surge further in 2024 too."