New Car Sales Down By 24 Per Cent

Car Finance Calculator

Thu, 07 May 2009

The ongoing decline in new car sales continued in April, with registrations down 24 per cent year-on-year, according to latest figures from the Society of Motor Manufacturers and Traders (SMMT).

SMMT said a total of 133,475 vehicles were registered in the UK last month - the worst performance in April since 1991.

The April fall took the decline in sales for the first four months of 2009 to 28.5 per cent, with 245,184 fewer units sold compared with the same period last year.

All vehicle sectors experienced declines except for the small car segment which rose 54.3 per cent, according to the Society.

The SMMT said it hoped the Government-backed car scrappage scheme, announced in the Budget, will help boost Britain’s hard-pressed motor industry when it comes into effect on 18 May.

Under the so called "cash for clunkers" scheme, Britons can trade in vehicles that are at least ten years old in exchange for a £2,000 grant (half from the Government, half from the car industry) for buying a brand-new model.

SMMT chief executive Paul Everitt said: "Today records the 11th successive fall in new car registrations yet the UK motor industry continues to demonstrate its strength and resilience throughout."

"Despite the tough conditions, industry is hopeful that its prospects will improve in the coming months and the steps it has taken will provide the basis for a sustained recovery once growth returns."

He added: "The UK motor industry remains of strategic importance and will play a key part in generating jobs and prosperity into the future."