New car registrations have risen by 6.6 per cent in July marking the 29th consecutive month of growth, according to the latest figures.
Data from the Society of Motor Manufacturers & Traders (SMMT) shows that the number of new cars bought in 2014 to date is up 10.1 per cent on last year. Returning economic confidence and attractive finance deals are cited as the main contributing factors in the recent improvements.
The positive effects of rising new car registrations are felt throughout the motor trade industry, with used car dealerships also seeing improving profits. However, it is important that as businesses flourish in this period they keep one eye on their motor trade insurance; should a firm choose to expand its premises or carry greater amounts of stock, it is vital they ensure this is reflected in the level of cover offered by its combined motor trade insurance policy.
As a result of the faster than expected growth figures in the first half of the year, the SMMT has revised its market forecast upwards to 2.45 million registrations, which would be up 8.1 per cent on 2013.
Mike Hawes, SMMT Chief Executive, said: “July saw the new car market extend its record period of growth to a 29th month, as confident consumers took advantage of an array of new products and attractive finance deals on the latest fuel-efficient new cars.
“The continued positivity has led to an uplift in the SMMT full year forecast to 2.45 million passenger car registrations, a rise of 8.1 per cent. However, the more moderate growth of the last three months shows that overall demand is beginning to stabilise.”