UK car market grows for record 27th month

The sale of new cars rose 7.7pc in May year-on-year to a total of 194,032 , the 27th month of consecutive growth, marking the longest ever period of growth in the sector, according to figures from the Society of Motor Manufacturers and Traders (SMMT).

"The economic fundamentals are currently looking pretty bright for the motor industry which will hopefully fuel ongoing healthy car sales," Howard Archer, chief European and UK economist at IHS Global, said

The Ford Fiesta was yet again the best-selling model in May, followed by the Volkswagen Golf and the Vauxhall Corsa.

Mike Hawes, chief executive at SMMT, said: "Over the past 27 months, increasingly confident consumers have been drawn to some fantastic new products, attracted by innovative technologies, improved fuel economy and competitive deals helping make a new car more affordable."

But he warned that it was likely that growth would start to level over the rest of the year.

"With SMMT forecasting an overall rise of around 6pc over the year, the coming months should see some levelling off in growth rates as underlying demand stabilises," he said.

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