Monday, 6 June 2011
New car sales in May fell 1.7 per cent to 150,431, according to figures released by the SMMT.
Registrations in the first five months of the year are down 7.3 per cent to 846,513 units, the 11th successive month of decline.
But the rate of decline is the smallest since registrations began to contract in July last year.
Private demand continued to fall, down 15.3 per cent in May and by 18.9 per cent year to date.
Total market volumes have been supported by fleet demand, which rose by 11.1 per cent in May
The SMMT said the market was on track to achieve full year forecast of 1.93 million units, although it said the economic setting remained uncertain.
The market continued to be constrained by the “unsettled economic backdrop”, with consumer confidence “suppressed by concerns over employment levels, low wage growth and rising costs of living”.
SMMT chief executive Paul Everitt said: “New car registrations for May were down just 1.7 per cent on 2010 levels, with strong performances in the fleet and business sectors.”
“Consumers remain cautious, but with significantly improved fuel economy, service plans and more affordable finance, there is great value on offer across the market.”
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