New UK car sales best in five years

Written By Unknown on Jumat, 04 Oktober 2013 | 16.50

4 October 2013 Last updated at 05:46 ET

New car sales hit the highest level in September for five and a half years as the latest 63-plate attracted buyers.

The Society for Motor Manufacturers and Traders (SMMT) said 403,136 new cars were registered in the UK, a rise of 12.1% on 2012.

That is still below the average for September before the credit crisis of 416,000.

September sales are typically strong as it is one of the two months when new registration plates are issued.

One in seven cars sold in the UK are made in the country.

Ford's Fiesta remains the UK's top selling car, with 20,600 sold in September, Vauxhall's Corsa was in second place with 14,500 vehicles sold.

Car sales have now risen for 19 months in a row.

Boost

The SMMT's chief executive, Mike Hawes, said: "The UK market is reflecting growing economic confidence."

"Robust private demand has played a major role in this growth, with customers attracted by exciting, increasingly fuel-efficient new models which offer savings in the cost of ownership."

The SMMT said the growth also reflected the fact buyers were returning to the market after a period of holding off.

Another factor boosting sales was the type of financing deals available.

Richard Lowe, an analyst from Barclays said: "Attractive finance packages are offering consumers more clarity on running costs, which even with a more promising economic outlook is an important factor for those on a budget."

But he added that the UK car market was likely to remain strong: "As we head into the quieter months, I suspect we'll see sales hold firm, keeping the UK market zooming ahead of our European counterparts."


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