Sepi Arani, Commercial Director at carwow, discusses how the cost of living crisis has affected consumers' interest in cheap cars, with enquiries rising last month.

The ongoing cost-of-living crisis is having a significant impact on the type and cost of new cars that consumers are enquiring about, according to new data from carwow, the UK’s leading independent portal for new car sales. 

During August, interest in more affordable cars rose sharply, with enquiries for new cars costing less than £20,000 climbing by 13.5% – more than for vehicles in any other price bracket. 

Sepi Arani, Commercial Director at carwow, comments:

These leads – where an in-market consumer has a firm intent to buy and is actively engaging a dealer via carwow – increased by 59.5% compared to the August average, and the volume has been higher than at any point since January. 

As the cost-of-living crisis continues to bite, it is understandable that consumers are being more cautious when assessing purchase and ownership costs for their next vehicle. While the SMMT's latest registration figures point to a mixed pattern of sales over recent weeks, our enquiry data gives cause for optimism about what lies ahead for the motor retail sector.

Full release: Cost-of-living crisis boosts interest in cheaper new cars, reports carwow