Depressing Start to 2009 UK Car Market

Figures for January UK car sales, released by the SMMT, make gloomy reading; new registrations were 30.9 per cent down to 112,087 units. And the outlook is equally bleak, with the SMMT predicting a decline in 2009 of over 19 per cent to 1.72 million units. This is 410,000 fewer than 2008 and 685,000 units less than 2007.

SMMT chief executive called on the Government to take steps to stimulate demand, saying: “A number of EU member states have launched scrappage incentive schemes, which have the benefit of boosting consumer confidence and delivering significant environmental improvements. The UK motor industry is urging UK Government to introduce a similar scheme and help sustain jobs and businesses throughout the sector.”