New car registrations fell by 6.2% in June,
compared to June last year, to 183,125 units – the 12th successive
month that registrations have been lower than the corresponding
month a year ago. However, the drop is lower than that for
registrations in the first half of 2011 compared to H1 2010, which
at 1,029,638 is 7.1% down.

Registrations for Q2 2011 were 5.2% down on Q2
2010. However, for quarterly drops compared to the previous year’s
quarter, this is the smallest fall in the past four quarters.

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SMMT reports that June’s registrations were
1.4% above its forecast, and the full-year market is still expected
to be 1,930,000 units. The 12-month moving annual total stands at
1,950,000.

Fleet demand continues to grow, up by 2% in
June compared to June 2010, and by 3.4% in the first half of 2011
compared to H1 2010. SMMT says the pace of slowdown in the private
sector has moderated, as the impact of the Scrappage Incentive
Scheme has virtually disappeared.

Diesel car registrations were up 4% in June
compared to June 2010, and up 7.5% in the first six months of 2011
compared to H1 2010.

In Q2, the UK fleet average CO2
emissions figure dipped below 140g/km for the first time ever, to a
record low of 138.9g/km. The Ford Fiesta was the best selling model
in June and for the year-to-date. The VW Golf has been the best
selling diesel model over the first six months of the year, but was
pushed into second place in June by the Vauxhall Insignia.

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SMMT Chief Executive Paul Everitt said: “June new car
registrations continued to perform in line with industry
expectations, with robust demand in the fleet sector and a
relatively weak retail market. The balance of demand makes this a
tough time for vehicle manufacturers and their dealer networks.
Slow, but steady, economic growth in the second half of the year
should see volumes increase.”