(Reuters) – The decline in new car registrations in Britain was nearly 21% in May, which is the weakest month in 30 years after 2020 lockdown. This happened because of persistent supply problems that hampered sales, deliveries, and strong demand. Industry data for Monday showed.

According to The Society of Motor Manufacturers and Traders SMMT, new vehicle sales dropped by 124,394 units in the UK last month. However, battery electric vehicles jumped 18% and now account for nearly one-eighth of new cars on the road.

Mike Hawes, Chief Executive Officer at SMMT, stated that the market continues to face ongoing parts shortages. “In another difficult month for new cars, the industry continues battling global part shortages. With growing demand for battery electric vehicles one of the few bright spots,” he said.

According to the SMMT, British new car sales in the coming year will probably be lower than originally thought due to the ongoing chip shortages and cost-of living pressures.

According to the SMMT, supply problems have caused a decline in overall market volume of nearly 9% (equivalent to 62 724 fewer units) so far this year.