The UK’s new car registrations rose for the 11th consecutive month in May- but industry body the SMMT believes the market will now head into decline.
Scrappage ended earlier this year and the final few cars purchased under the scheme were registered in May. The ending of this scheme, coupled with continued economic uncertainty, is expected to see car sales in 2010 end up lower than in 2009.
May’s registrations were up 13.5 per cent on the same month last year; 153,095 units in total were registered in the month.
SMMT chief executive Paul Everitt is now calling on the new coalition government to deliver a strong emergency budget to help fend off the expected decline in the new car industry.
“May was another good month for the UK new car market, although we expect the coming months to be extremely challenging,” he said. “It is essential that the upcoming emergency budget promotes consumer and business confidence to maintain economic recovery.”
The Ford Focus was the UK’s best-selling car in May ahead of the Vauxhall Astra and Ford Fiesta.