According to the latest figures from information services company Experian, younger cars suffered the most pronounced fall.

Sales of cars less than thee years old fell by 8 per cent compared to quarter three of 2006.

It was also the first year that sales of older cars - aged three to six and six to nine years old - fell during quarter three.

Kirk Fletcher, managing director of Experian's Automotive division, said: “By the time the third quarter had begun, the base rate had already risen five times to 5.75 per cent – its highest level since spring 2001 – so consumers were feeling the squeeze on their finances.

“Sales of ‘big ticket' items, such as cars, were the most likely to suffer and they did.”