New car registrations grew 9.6% in August, year-on-year, to 79,060 according to the Society of Motor Manufacturers and Traders (SMMT). This marked the 43rd month of consecutive growth.
The month saw the private market pick up substantially. In August, private car sales grew by 7.2%, year-on-year, to 37,362. In comparison, 2015 private car sales until the end of July were only up 2.0%, year on-year.
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Fleet sales still grew at a faster rate, with the 40,184 cars sold in August 2015 11.8% above the amount sold in August 2014.
Both diesel and petrol type cars witnessed strong year-on-year growth in August, at 7.6% and 10.1% respectively.
Mike Hawes said low finance rates were a significant drive in the increase in sales. He said: "August’s strong performance has again been driven by attractive finance deals and a diverse range of technologically advanced models. Britain’s budget-conscious buyers are taking advantage of low regular monthly payments that provide certainty and affordability.? With September’s new 65-plate now in full swing, we expect UK showrooms to be as busy as ever."
Richard Jones, managing director of Black Horse, said: "This month’s increase in new car sales continues the success story of the UK automotive industry. Innovations in stop/start engine technology and the utilisation of forced induction have greatly improved fuel efficiency for new cars making it more attractive than ever to own a new car.
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By GlobalData"This coupled with the recent extension to the MOT requirement to four years now means that the cost savvy consumers will have more reason than ever to walk into a showroom. We are also likely to see more competition between sales of new and used cars as both manufacturers and dealers work hard to retain their competitive edge and attract new customers through the door."
By brand
While Ford and Vauxhall maintained their positions as the two biggest brands in the UK, by volume, third placed Volkswagen witnessed substantial growth of 24.22% in August.
Other volume manufacturers which saw a substantial increase in sales were BMW (sales up 36.49% year-on-year) and Mazda (sales up 45.88% year-on-year).
The Ford Fiesta was once again the bestselling car in August, with 4,753, followed by the Ford Focus (2,673) and Volkswagen Gold (2,456).
August sales are traditionally relatively low as buyers hold off and wait for the September plate change.
Sue Robinson, director of the National Franchised Dealers Association (NFDA) said: "August is traditionally a small market as buyers wait for the plate change on 1 September before purchasing a new vehicle. Therefore, after such a positive increase in sales during August, we anticipate that sales of the new 65-plate to do very well."
Glass’s has previously said that it expects to see strong growth numbers for August and September, but warned that these figures are being diluted by a rise in pre-registrations.
