Best April for new car sales since 2008

7 May 2013
By Edd Gent
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UK car sales have had their best April since 2008, according to new firgures

UK car sales have had their best April since 2008, according to new firgures

New car sales in Britain were nearly 15 per cent higher in April than a year ago, according to new figures.

The Society of Motor Manufacturers and Traders (SMMT) has said new car registrations increased for the 14th month running to 163,357 units, up 14.8 per cent on the year and the best April since 2008.

The organisation is now predicting sales in 2013 will be stronger than it previously forecast.

"The UK continues to perform well ahead of the troubled euro zone as consumer confidence, regular purchase cycles, attractive finance deals and wider market factors continue to make new car buying favourable for motorists," SMMT interim chief executive Mike Baunton said today.

Rising car sales have provided a rare source of good news in Britain over the past year, while the wider economy dipped in and out of recession.

New registrations have grown strongly since the start of the year, in contrast to falls in Germany – Europe's biggest car market – and France.

Even though April's rise was flattered by more sales days this year than last, this was still a robust performance, says Howard Archer, economist at IHS Global Insight.

The industry body revised up its full-year sales forecast to 2.106 million units, a 3 per cent increase on 2012 volumes, from its January full-year sales prediction of 2.057 million.

Car sales in Britain have also been boosted by high fuel prices, which have encouraged motorists to buy more fuel-efficient cars to save money on running costs.

That cost-conscious approach was evident in April's best-selling models, with Ford's Fiesta, Vauxhall's Corsa and Ford's Focus leading the pack.

The SMMT said petrol-fuelled cars have seen their market share climb in the first four months of 2013, supported by increased demand for small cars, but this year's pick-up in unemployment and rising inflation threaten to slow car sales in Britain.

“The auto sector faces far from easy conditions over the coming months, with consumers confronted by significant headwinds and businesses under pressure to contain costs," Archer says.

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