Carmakers are being forced to build vehicles that drivers “don’t want” to meet green targets, one of the country’s largest dealership chains has warned.
Under rules introduced by the previous Conservative administration, 22 percent of new cars sold next year must be zero-emission. This threshold is set to rise to 80 percent by 2030.
Robert Forrester, chief executive of Vertu Motors, said this meant carmakers were producing vehicles that many drivers don’t want.
Vertu boss Robert Forrester says carmakers are producing vehicles that many drivers don’t want
“In some franchises there is a restriction on the supply of gasoline and hybrid cars, which is precisely where the demand is,” he explained yesterday.
“It’s almost like we can’t supply the cars that people want, but we have plenty of cars that they may not want.”
Subdued demand for electric cars is hurting the business sector, he added, as automakers build these greener models at a faster pace than drivers are looking to buy them.
Vertu warned profits would fall in the half after new car sales fell 5.8 percent in the five months to July 31.
But the group, which has 192 UK showrooms, saw used car sales rise 5.5 per cent, helping boost group revenue by 3.3 per cent.
Vertu remains “very focused on costs and efficiency” as rising staff salaries add pressure on costs, with plans to roll out trials that automate some administrative and financial tasks in the coming months.
