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Only because people are willing to buy them.
I find this thread increasingly frustrating as it purports to be about car engineering yet good engineering should consider efficiency and the environment. There's not a whole lot of discussion about those aspects beyond what the most fashionable SUV is. We all are cyclists I believe, yet purchasing bigger cars that are rarely if ever full, diesel too. These are things largely incompatible with cyclists aren't they?
I'm guilty too, we are a two car household although really only one driven at a time but I know I should do more. We have a mid size petrol crossover which will be replaced by something smaller this year. The other is the Abarth 595 which I far prefer due to its size and cos its fun too.
Rant over, I think it's the heat and that seemed to bring out some bad driving yesterday on my bike commute.
Cars are getting bigger....