The cost of living crisis is causing drivers to hold on to their vehicles for longer, switch to the used market, and undertake basic servicing and maintenance themselves.
According to the latest research by What Car?, 34.5% said the cost of living crisis has made them hold on to their current vehicle for longer than they intended. Of those holding on to their current vehicle for longer, 65.8% said they’ve held on to it for more than six months longer than they initially intended, while 21.4% said between three-to-six months.
What Car? found that 14.2% of those buying a used vehicle said they were initially in the market for a new car but swapped to the used sector specifically due to the cost of living crisis.
The impact of rising prices and living costs also means 12.8% of owners are now considering doing some of their own vehicle servicing and maintenance in order to save on motoring costs.
Steve Huntingford, editor, What Car?, said: “The UK’s new car market is still below pre-pandemic levels. Buyers holding on to their current vehicles for longer or switching to the used market is slowing down the much-needed recovery.
“The cost of living crisis is also threatening to slow down electric vehicle uptake in the country. Electric vehicles continue to command a premium over equivalent petrol or diesel models, and with tightening purse strings, buyers will be less hesitant to make the switch.”