Consumer spending on cars in the UK has increased, but private new car purchases have decreased.

From Sky News: 2024-07-04 07:02:14

Consumer spending on car purchases in the UK has risen 6% to £57.4bn, outpacing the 2% increase in spending on public transport at £60.9bn in 2023. AA highlights the economic importance of cars, with fuel and lubricants accounting for a large chunk of £78.6bn spent on personal transport operation.

Despite higher spending on cars, private new car purchases have declined for nine consecutive months, falling 15.3% in June. The rising cost of new cars has led consumers to opt for used alternatives, with calls for the government to address electric car affordability and market stability in the future.

Consumer spending on cars is contributing to increased traffic levels and air pollution in the UK. Harmful byproducts from burning petrol and diesel fuel, along with emissions from vehicles, pose environmental and health risks. Researchers estimate that 48,625 adults die prematurely each year due to particulate matter pollution, with 79% of the UK exceeding safe levels.



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