New car market boosted by largest rise in two years
New car registrations jumped 7.9 per cent in May, welcome news for the UK retail motor industry.
The rise is the largest in percentage terms for 23 months, and was led by a 14.8 per cent jump in private demand.
The increase is revealed in the latest figures from the Society of Motor Manufacturers and Traders, and is both six per cent and 9,000 units above the SMMT’s forecast for the month.
In total 162,288 new cars were registered in May taking the total since the start of the year to 868,166 – a 2.6 per cent rise.
In more good news for the industry the fleet market saw a 4.8 per cent increase, reversing three months of decline.
According to SMMT Chief Executive Paul Everitt the increase in new car registrations is good news for the motor industry and the UK economy, particularly the steady growth in demand from private buyers.
“There is no doubt that vehicle manufacturers and their dealer networks are working hard to deliver value for money to motorists and the consistent climb in new car registrations during the first five months of the year suggests that confidence is returning, despite financial uncertainty in the eurozone,” Everitt says.
Some 2,108 alternatively-fuelled vehicles were registered in May, a rise of more than 31 per cent thanks to the introduction of new models such as Vauxhall’s Ampera and the Chevrolet Volt.
For the first time Ford’s Fiesta failed to top the overall market, Vauxhall’s Corsa (pictured) demoting it to second. The Corsa’s 8,413 figure was 76 ahead of the Fiesta though the Ford still leads the year-to-date chart.
Words by: Andrew Charman