
One automobile insurer has seen collisions involving cyclists improve by 50% up to now 10 weeks
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New UK automobile registrations for Might hit a 68-year low, falling 89% year-on-year from 183,724 to only 20,247. The final time the determine for Might was decrease was in 1952, when 14,466 vehicles have been registered.
In keeping with the Society of Motor Producers and Merchants (SMMT), the brand new automobile market has collapsed by greater than 51% within the first 5 months of the 12 months as a result of coronavirus lockdown. It says the re-opening of automobile showrooms in England on 1 June provides some room for optimism.
Showrooms in Northern Eire open subsequent week, however no date has been given for when automobile retailers in Scotland and Wales can re-open their premises.
The figures come on the identical day automobile retailer Lookers introduced 1,500 redundancies and the closure of 12 dealerships. It introduced the closure of 15 dealerships final November, suggesting not all of the woes of the brand new automobile market are all the way down to coronavirus.
Devastating impression
Mike Hawes of SMMT mentioned two months of lockdown has been devastating: “This week’s re-opening of dealerships (in England) is a pivotal second for your entire trade and the hundreds of individuals whose jobs depend upon it.
“Early experiences counsel there’s good enterprise given the circumstances, though it’s far too early to inform how demand will pan out over the approaching weeks and months.”
Battery electrical autos (BEVs) have been the one gas kind to see a rise in registrations year-on-year in Might, with 429 extra items registered (2,424 towards 1,995 in 2019). Might’s best-selling automobile was the battery-powered Tesla Mannequin 3 (852 items).
Mr Hawes mentioned: “Making certain folks have the arrogance to put money into the newest autos won’t solely assist them get on the transfer safely, however these new fashions will even assist tackle among the environmental challenges the UK faces in the long run.”
The UK authorities has pledged to ban the sale of latest petrol and diesel autos by 2035. Nonetheless, in Might, petrol vehicles accounted for 55% of latest registrations with diesel standing at 17%. BEVs took 12%, up from 1% final 12 months.

Trade figures present an 89% drop in new automobile registrations in Might in comparison with the identical month final … [+]
SMMT
Second-hand automobile check drive threat
Worth comparability website Go Examine is predicting shopper demand for brand new vehicles may outstrip provide due to the suspension of producing.
It says this might result in a increase in used automobile gross sales and is warning drivers to ensure they’ve cowl in the event that they take a personal vendor’s automobile for a check drive.
Lee Griffin of Go Examine mentioned: “New automobile manufacturing in Britain fell by 99.7% in April as manufacturing strains closed, and it is going to be months earlier than car producers are again to full capability.
“The motor commerce expect the shortfall, together with the federal government’s recommendation to keep away from public transport, to spice up the second-hand market.”
Mr Griffin says many individuals wrongly assume their very own insurance coverage covers them to drive another person’s automobile if they’ve permission to take action: “Prior to now, complete insurance policies usually coated you to drive different vehicles, but it surely’s uncommon as of late – 92% of insurance policies don’t cowl policyholders to drive vehicles aside from their very own.
“It’s important to test the phrases and circumstances of your coverage to see in case you’ve obtained cowl and what that features.”
It’s unlawful to drive with out insurance coverage, even for a brief distance.
Quick-term resolution
Anybody needing insurance coverage to allow them to test-drive a personal automobile should purchase a separate coverage, with cowl lasting from one hour upwards.
Freddy Macnamara, founding father of Cuvva, one of many corporations on this market, mentioned: “In some circumstances your annual automobile insurance coverage coverage would possibly cowl you on extra vehicles, not owned by you, however there are sometimes exclusions and it is often not complete cowl, solely third get together.
“Versatile, non permanent automobile insurance coverage lets you shield your self just for the time that’s wanted, whenever you check drive a second-hand automobile. This implies you possibly can keep away from the effort of altering your present annual automobile insurance coverage coverage for a brief timeframe.”
Cuvva says that from April to Might it noticed a 76% improve in clients shopping for insurance coverage to check drive a automobile or drive their newly bought automobile dwelling.
Accidents on the rise
As extra vehicles return to the highway publish lockdown, there are considerations there could also be a spike within the variety of accidents.
Admiral, the automobile insurer that drew plaudits in April by refunding £25 to every of its automobile insurance coverage policyholders due to the overall discount in miles being pushed throughout lockdown, says unintentional injury claims have began to rise since restrictions eased.
Lorna Connelly, the agency’s head of claims, mentioned: “Whereas the present volumes of claims for unintentional injury from motorists stays low, we have discovered the variety of incidents reported to us has began to rise. This implies that, as extra motorists return to the roads, the chance of highway accidents will even improve.”
The insurer in contrast a two-week interval throughout strict lockdown at first of Might with the next two weeks, when restrictions on journey eased. It noticed a 39% improve within the variety of unintentional injury claims from motorists in England.
The will increase have been decrease in Scotland, the place there was a 12% improve, and in Wales, the place there have been 3% extra accident claims. Admiral says this may very well be as a result of Scotland and Wales nonetheless had stay-at-home orders throughout these two weeks.
Various elements are considered behind the development, together with:
- a normal improve in visitors on the roads
- motorists getting again behind the wheel after a sustained break from driving
- pedestrians and cyclists who’ve been profiting from quieter roads being unprepared for elevated visitors
- some drivers taking pointless dangers with extreme velocity.
Cyclists in peril
Co-op Insurance coverage, in the meantime, has reported a 50% improve in claims involving cyclists within the final 10 weeks.
Joshua Harris, director of campaigns at Brake, the highway security charity, mentioned: “That is very regarding. We implore all drivers to at all times hold effectively inside velocity limits and to be further vigilant as folks use native roads for his or her every day train.
“It is important drivers are conscious of the chance they pose to different, extra susceptible, highway customers and to ensure they decelerate, solely overtake when completely secure to take action and at all times go away loads of room.
“Each crash impacts lives and will increase the burden on our stretched emergency companies and NHS.”
Low pump costs – however for a way lengthy?
Many drivers who haven’t pushed in any respect in current weeks, or who’ve solely finished so sparingly, could also be pleasantly shocked after they finally go to a petroleum station.
In keeping with the RAC, the typical retail value for petrol is £1.06 per litre, with some supermarkets promoting for round £1 per litre.
Costs fell in Might to ranges not seen since 2016 due to the hunch in demand on the pumps, which mirrored the collapse in demand for oil worldwide as trade ceased operations. So will costs creep up once more as economies are reactivated?
The reply is nearly actually sure. The wholesale value of oil, which fell steeply because the pandemic unfold all over the world, elevated by 83% throughout Might to high $34 a barrel. Inevitably, the wholesale value of petrol has elevated as effectively, and retailers are more likely to move this elevated price onto drivers.
Simon Williams of RAC mentioned: “Final month, as we anticipated, the oil value started to creep again up. If this continues in June, an increase in the price of filling up is nearly inevitable.
“Drivers ought to refill after they can to learn from what are the bottom costs for 4 years. Whereas the impression of the coronavirus is ready to be with us for a protracted whereas but, we don’t count on such low pump costs to be.”
DVLA extends photocard renewals
The DVLA introduced as we speak that drivers with a photocard driving licence as a result of expire between 1 February and 31 August 2020 shall be granted a 7-month extension from the date of expiry. This can assist drivers to make needed journeys with out having to acquire a brand new {photograph} to resume their licence.
Usually drivers are required to resume their photocard licence each 10 years. Drivers shall be despatched a reminder to resume earlier than their 7-month extension ends.
This extension applies to the photocard. If a driver’s entitlement to drive is because of expire and so they want to proceed to carry a sound licence, they might want to renew this entitlement within the regular approach.
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