New car volumes continued to grow in April with registrations up 5% to 185,778 units, pushing the year to date total up 6.4% to 920,366 units, according to the SMMT.
This marked the 38th consecutive month of growth for the new car market with the SMMT declaring it the biggest April market for a decade.
The market was mostly powered by the fleet sector which saw year-on-year registrations up 9% to 93,095 units, as businesses and contract hire firms replenished their cars. Retail registrations in the month were up 2.7% year on year to 85,980 units. Demand for cars in the SME sub-25 fleet sector fell -12.4% to 7,651 units.
“Today’s figures highlight the current strength of consumer confidence, even at a time of such political uncertainty. We are confident that the UK’s new car market – so symbolic of economic mood – will continue to thrive, but long-term success will depend largely on economic and political stability in the months and years ahead. Whatever the outcome of today’s election, the next government must act quickly to uphold economic certainty and reassure consumers and markets,” said Mike Hawes, chief executive of the SMMT.
April’s strong performance, which comes after a record first quarter for the sector, tracks a 12-year high for consumer confidence, according to the GfK UK Consumer Confidence Index.
The April increase was welcomed by the industry.
“April car sales are usually quieter following the March new plate registration boost, however the car industry continues in its upward trajectory,” said Chris Sutton, managing director of Black Horse.
“Growth continues to come from businesses who are upgrading their fleets but consumers are also part of this continued success story of the UK economy, so the motor industry has a lot to be proud of. If anything demand may level off over the coming summer months but this shouldn’t cause concern for the industry as a whole as its performance is likely to remain upbeat.”
