2024 Round-Up

This year has been nothing short of fascinating for the vehicle market. Are EVs thriving or struggling? Why are used car prices dropping? Why are car manufacturers shouting so loudly about net-zero targets? And then there was Jaguar.

Without question, we’re witnessing a revolution in the automotive world, with seismic shifts reshaping the landscape.

As the self-proclaimed chief petrol head, I thought I’d share my views on what’s been happening. As always, these are just my thoughts—likely no more insightful than my wife’s, who couldn’t care less about cars.

EVs: The Rollercoaster Ride

EVs have had a turbulent year, with a scary drop in depreciation rates starting in late 2023. Why? Well, two key factors stand out:

1. The Government Tax Write-Off
   Businesses can shave around 25% off the purchase price of an EV thanks to tax incentives. That’s a huge saving. But it also meant that as soon as the car left the dealership, its value dropped by that same 25%. Add the standard 20% depreciation that affects most new cars, and the maths are clear—second-hand EVs plummeted in value.
2. Scare Stories and Media Clickbait
   Let’s be honest: some EV scare stories had a basis in fact, but many didn’t. The media had a field day, and it’s no surprise that some buyers were spooked.

Where are EVs now? The numbers speak for themselves: adoption is still growing, albeit slower than before. According to SMMT data, EVs remain the fastest-growing segment of the new car market.

But here’s the twist: ICE car values also dropped significantly in 2024. Why? I honestly have no idea. If you have a theory, let me know!

Manufacturers and the Net-Zero Debate

This year saw car manufacturers loudly criticising government net-zero targets, claiming they’re out of step with EV adoption rates. I think they’ve got a point. Governments were slow to tackle misinformation, and in some cases, actively leaned into it for political gain. Add poorly designed incentive schemes into the mix, and it’s a recipe for market confusion.

But let’s not let the manufacturers off the hook. Many were so stuck in their old ways, they left massive gaps in the market—gaps that new players like BYD (hello, China) were quick to fill. And they didn’t hold back, diving headfirst into EVs.

A Petrol Head’s Hope

What about those of us who love the sound of a screaming petrol engine? I’m cautiously optimistic. I think most A-to-B cars will eventually become EVs—and that’s fine. But there will still be room for my beloved oily machines.

If the majority of everyday cars are EVs, the remaining ICE vehicles will have a negligible impact on climate change. Add sustainable fuels into the equation, and the future for performance cars looks brighter.

To my fellow petrol heads who see EVs as the spawn of the devil: let’s think laterally. If dull ICE cars are replaced by EVs, it leaves more room for our screamers to exist.

And Then There’s Jaguar

Wow. Jaguar really made headlines this year. Their bold rebranding left jaws on the floor. From a business perspective, I kind of get it. Here’s how I imagine the boardroom discussion went:

• Accountants: “Jag is dying. No one’s buying our cars.”
• Designers: “But it’s an iconic brand!”
• Accountants: “They might love the brand, but they’re not buying the cars. We’ll have to kill it anyway.”
• Marketers: “So, let’s reinvent it and find a new market.”

And, to their credit, they did just that. Suddenly, everyone was talking about Jaguar. Whether it was genius or madness remains to be seen. But one thing’s for sure: it’ll be a case study in business courses for years to come.

Personally, I admire the bold move and wish them well, though I’m still on the fence about it. A concept car is one thing, but the showroom models could be very different. That said, I have a feeling this will attract plenty of new customers who might never have considered a Jaguar before. We Brits are good at thinking outside the box. I just wish the box wasn’t pink.

Happy Christmas!

That’s it from me this year. Thanks for indulging my ramblings. Whether you love cars or hate cars, I hope you’ve enjoyed our discussions. It’s worth saying, if you don’t like what we do with our blog posts, please do shout.

Here’s to another interesting year ahead. For KnowYourCar we’ve got some cool stuff rolling out early next year. As always it’s about giving you unique information so that owning and buying a car is easier and better. For me it’s likely the same as always. Man maths calculations on my old 911 resulting in spending more time underneath: 2025 finds that annoying suspension creak and I face up to that worrying noise from the gearbox.

Cheers,
Dan