Dealers have reduced their exposure to diesel holding less stock than they did a year ago.
Analysis carried out by Cox Automotive in May found that diesel accounted for 50% of total dealer stock in May compared to 57% a year ago.
Dealers are now stocking more petrol cars, accounting for 48% of stock in May compared to just 42% of stock in May last year.
Negative headlines on diesel mean that dealers are taking 39 days on average to sell diesel stock compared to 37 days a year ago.
Petrol cars are also taking longer to sell at 37 days compared to 33 days in May 2017.
“Dealers are better managing their diesel stock to meet consumer demand following negative headlines over emissions,” said Cox Automotive head of external relations Philip Nothard.
“There is now a balance between petrol and diesel listed vehicles with dealers buying less diesel stock and setting more appealing price points for consumers,” he said.
According to Nothard, alternatively fueled vehicles continue to struggle compared to petrol or diesel.
And supermarkets are coming under pressure selling seven days slower than a year ago, according to the research.
Nothard added dealers needed to adjust their stock to cater for the growing demand for smaller vehicles.