UK car production falls to lowest level since 1954
UK car production falls to lowest level since 1954
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Number made fell to 780,000, the lowest for seven decades barring the pandemic, as carmakers battle weak demand and EV transition. British car production fell in 2024 to its lowest level in seven decades – barring the coronavirus pandemic – as the industry struggles with weak demand and prepares to shift away from fossil fuels to electric vehicles.
The number of cars made in the UK fell to 780,000 during the year, the lowest since 1954, except for during the pandemic when first factories were forced to close and then supply chain problems caused shortages of computer chips, according to the Society of Motor Manufacturers and Traders (SMMT), a lobby group.
Mike Hawes, the SMMT’s chief executive, said the decline last year was down partly to factories pausing while they switched to electric production. However, he added that the industry is still struggling with weak global demand, and slower-than-expected growth in electric car sales.
In 1954, the UK car industry was dominated by the recently formed British Motor Corporation, a merger of the Morris and Austin brands. Those were straitened times: it was only in July of that year that the government finally ended second world war rationing.
By contrast, car buyers in 2024 can choose from an array of technologically advanced vehicles built all over the world. Yet amid tough competition, the UK is struggling to retain its position as a large-scale automotive manufacturer. The car production figures have been skewed by the 2021 decision of Vauxhall owner Stellantis to switch production from cars to vans at its factory in Ellesmere Port, Cheshire. When taking vans into account, the UK industry produced 905,000 vehicles in 2024, although that was still a decline of 12% compared with 2023.
