In the case of a no deal Brexit, in which the country must resort to WTO rules for international trade, the negative effects on the UK car industry could be devastating. The current uncertainty surrounding the type of deal that will be struck with the EU is already having an effect on production output and leading major investors such as Toyota and PSA (Vauxhall) to assess their future in the region.
It’s not just investors that need to be reassured in these times of uncertainty, though.
If the industry is to prosper, demand for cars also needs to remain high among consumers. As Statista’s Martin Armstrong shows in the infographic below, the Brexit effect is also starting to take hold of new registrations.
You will find more infographics at Statista
As with production, new registrations peaked in 2016 at 2.69 million. Last year though, this fell by 150,000 to 2.54 million.
Looking ahead, forecasts by SMMT are less than optimistic, with the trend expected to continue down to 2.35 million by 2019.
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