Forecasts for new UK car and van registrations have been increased following a better than expected first quarter market performance.
The Society of Motor Manufacturers and Traders (SMMT) yesterday announced the improved 2010 registration forecast, increasing its outlook by 107,000 units since the last projection made in January this year. The 5.6% (car) and 7.7% (van) increases in expected annual totals is a positive sign for industry, reflecting increased confidence and stability and a sustained level of consumer demand.
Despite the revised figures showing a greater number of registrations than first anticipated in January this year, the full year car figure is still 3.6% down on 2009 levels. Largely unaffected by the scrappage incentive, van registrations are set to be about 8.6% up on 2009 reflecting greater business confidence.
“SMMT’s latest forecasts reflect the better than expected results in the first quarter and improving consumer confidence,” said SMMT chief executive Paul Everitt. “The coming months will be challenging now that the scrappage scheme has ended, but industry remains cautiously optimistic. Sustaining the economic recovery and improving access to more and better priced finance for businesses and consumers should be the priority for any new government.”
SMMT revises its forecasts on a quarterly basis with a panel of industry market analysts. The next forecast is due in July 2010.