New car market rises after 13 month decline: SMMT

The Society of Motor Manufacturers and Traders has reported that the UK has seen the monthly new car market rise for the first time in over a year. August new registrations rose by 7.3 per cent to 59,346 units, representing the first monthly rise since June 2010. The rise was mainly the result of increased private demand, up 10.7 per cent, though fleet business also grew 4.5 per cent. The main car size to benefit was the ever-popular Supermini segment, which rose by 17.6 per cent to account for 37.3 per cent of the August market. Outlook for the rest of 2011 remained “challenging” according to the society.

“August represents a relatively small share of the new car market and the September new 61-plate registrations will be far more important for vehicle manufacturers and franchised dealers,” said Paul Everitt, SMMT Chief Executive. “The September new car market is always important for the UK motor industry, accounting for around 17 per cent of the full year’s registrations. Consumers are nervous about the future, but with industry offering unprecedented improvements in fuel economy, competitive finance offers and a wide variety of new models, buyers will find there is something to suit every taste and pocket.”

Related news:

• SMMT figures: UK car manufacturing rises, CV down
• Diesel, fleet purchases support April car registrations figures