PRESS RELEASE

8^THJANUARY 2016

Glass's comment on 2015 new car market

From Rupert Pontin, head of valuations, based on yesterday's SMMT figures

The registration figures for December 2015 have now been released by the SMMT and show a remarkable 8.4% increase on the same period last year and, when combined with the previous 11 months of data, reflect an overall market improvement of 6.3% for 2015 over 2014.

This is undoubtedly a fantastic achievement and one that Glass's predicted a year ago at a time when others took a more conservative view, fearing a 2.6 million market was neither achievable nor sustainable. However, a strong economy, solid consumer confidence and stable political backdrop have been key, as has pre-registration activity.

Reviewing the detail shows some interesting trends with one of the most important being the state of the diesel market. Where some had looked to demonise diesel and predicted a strong market drop off, it is clear that while market share has fallen by 1.6% from the 50.1% recorded in 2014, there has been no major dip despite VWgate and NOX concerns over older engines. Also, petrol market share has increased by 1% as a result of improvements in engine technology as many had suggested. However, the 0.7% increase in market share for alternative fuelled vehicles is mildly disappointing in some respects, despite the 40.3% increase in registrations.

Growth in the fleet sector has driven its share of registrations to 50.0% of the market at the expense of private sales, which dropped to a 45.9% share while business now holds 4.1%. Interestingly, the latter will be in part because of the number of businesses now confident enough to change their ageing fleets but also due to the pre-registration position which supports the new car registration gains and are often recorded as fleet sales. This practice is already becoming an important part of the pressure being placed on used car values and will continue during 2016.

Essentially 2015 has been as good as Glass's anticipated and better than many had hoped for. All signs point to 2016 proving to be another record breaking year, although there will be some interesting challenges along the way.

Rupert Pontin

Head of Valuations

About Glass's

Glass's is the largest vehicle data provider in Europe, offering products and solutions that are invaluable at every stage of a vehicle's lifecycle. These include key valuation, technical and fleet management data, estimating, bodyshop and dealer management systems and web-based services. Founded in 1933 by William Glass, the first Glass's Guide to Car Values - widely referred to as the used car dealer's bible - was published in July of that year.

For further details:

• Sanjay Mistry, Paperchase PR, 07810 368 772, sanjay@paperchasepr.co.uk

• Simon Wells, Paperchase PR, 07768 912 430, simon@paperchasepr.co.uk

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