HGV Growth Stabilises While Zero Emission Market Share Rises In UK

New HGV Registrations in the UK Experience a Slight Decline in Q1 2024New heavy goods vehicle (HGV) registrations in the UK have fallen for the first time in two years, with a decline of -3.9% in Q1 2024, according to the latest figures released by the Society of Motor Manufacturers and Traders (SMMT). Despite this decline, operators still registered 11,068 new HGVs between January and March, which is only 449 fewer units compared to the same period in 2023. This decline follows two years of strong growth in the market.The decline in overall HGV registrations can be attributed to a -16.5% decrease in articulated trucks, offsetting the 8.4% growth in rigid HGVs. The rigid HGV segment saw the largest proportional growth in the six to sixteen tonnes weight category compared to Q1 last year. As a result, rigids now account for almost six out of every ten new registrations, indicating a normalization in the market after a period of pent-up demand.The tractor units sector, which is the largest segment of the market, experienced a -16.7% decline, while tipper uptake also decreased by -6.3%. However, curtainsiders, flat lorries, and box vans saw strong growth with increases of 23.1%, 21.6%, and 20.6% respectively.Regional variations were observed in HGV registrations across the UK. The South West recorded the largest growth with 994 new HGVs entering service, representing an increase of 11.8% compared to last year. On the other hand, East Anglia saw the largest decline with a -26.4% decrease to 457 units. The South East remained the largest investor in new heavy vehicles, with 2,351 registrations despite a -2.7% decline.In terms of zero-emission vehicles (ZEVs), the uptake of battery electric vehicles (BEVs) in the HGV market increased by 56.3% to reach a 0.5% share of the overall market. However, the growth of ZEVs is still limited due to a lack of operator confidence and a grant system that is lengthy and restrictive. Currently, less than half of all available ZEV models are eligible for grants. Furthermore, the UK lacks dedicated HGV charging points, with only one truck-specific charging point located at the M61 southbound service station.To accelerate the adoption of zero-emission HGVs and decarbonize UK road transport, industry experts suggest reforming the grant system and implementing a national infrastructure plan. These measures would provide businesses with incentives and the necessary infrastructure to switch to zero-emission HGVs, which could help reduce approximately 19 million tonnes of CO2 emissions annually.Mike Hawes, Chief Executive of SMMT, emphasized the need for more action to sustain green fleet renewal in the truck sector. He highlighted that while zero-emission truck uptake remains a small fraction of the market, operators require inspirational incentives and infrastructure provision to accelerate their investments. With just over a decade until the first phase of the end of sale of fossil fuel HGVs, it is crucial to prioritize the transition to zero-emission vehicles.In conclusion, the UK's new heavy goods vehicle market experienced a slight decline in Q1 2024, primarily driven by a decrease in articulated trucks. However, rigid HGVs saw significant growth, leading to a shift in the market's composition. The adoption of zero-emission HGVs remains low but has shown improvement. To further promote the transition to zero-emission vehicles, reforms in grants and infrastructure development are necessary. These measures will not only benefit businesses but also contribute to reducing CO2 emissions in the UK's road transport sector.