SMMT revises forecast as new car market grows

Posted on 6 Aug 2014 by The Manufacturer

The Society of Motor Manufacturers and Traders has revised its forecast after UK new car registrations grew again in July.

With 172,907 cars registered in July, the market saw a rise of 6.6% which marked its 29th consecutive month of growth.

The SMMT said a combination of economic confidence and attractive finance options have driven the market up 10.1% year-to-date to 1,460,172 units sold.

Faster-than-expected first half-year growth has prompted to SMMT to have an upward revision of 2014 market forecast to 2.45 million registrations, up 8.1% on 2013.

Mike Hawes, SMMT chief executive, said, “July saw the new car market extend its record period of growth to a 29th month, as confident consumers took advantage of an array of new products and attractive finance deals on the latest fuel-efficient new cars.

“The continued positivity has led to an uplift in the SMMT full year forecast to 2.45 million passenger car registrations, a rise of 8.1%. However, the more moderate growth of the last three months shows that overall demand is beginning to stabilise.”