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New Car Sales Accelerate Towards 10 Year High

11th November 2014

U.K. new car registrations have recently hit sales of over 2 million for the first 10 months of the year and in doing so are set to smash targets. This is the first time this has happened since the financial crash of 2007, and places the automotive industry on course to achieve revised figures for the year, a respected industry body has reported.

During October, over 179,000 new cars were registered, an impressive rise of 14.2% on the year. And the impact of this increase? Well, it makes the year-to-date figure 9.5% higher (now at 2.14 million), the U.K. Society of Motor Manufacturers and Traders has confirmed. What's interesting is that new car registrations closely mirror sales and are therefore a reliable forecasting tool. Overall within the industry, October represents the 32nd consecutive monthly rise in sales. One of the principal reasons cited within the report, is that customers continue to benefit from well-structured and affordable financial packages on new car models.

Within the UK market in particular there are many new models to entice buyers. These include; the new Mini Hatch, Honda Civic Tourer, Nissan's new Qashqai and Juke, and the Rolls-Royce Wraith – something for all budgets and lifestyles! Additionally, the Land Rover Discovery Sport went into production last month and the new Jaguar XE has also been scheduled for production. Within the last month the SMMT has raised its expectations for 2014 for the third time this year. It now forecasts nearly 2.5 million annual registrations in total. Growth is also estimated during 2015 to the tune of 1 or 2 % with about 2.49 million cars being registered. By comparison, 2.26 million cars were registered in 2013.

The U.K.'s best-selling cars in October, and for the year to date, were the ever popular Ford Fiesta and Ford Focus. As a brand, Ford has genuine appeal to motorists within the UK. According to The Sunday Times, this is due to their ability to designcars that customers want to drive. Talking of the Fiesta in particular they say "…it offers the best driving experience of any small car, and its low running costs go a long way with cash-strapped drivers".

Ford recorded over 100,000 64-plate registrations during September and October, which is reportedly the highest number of sales over a two-month period since March and April 2008. For the month of October car sales were 24,221 in total, up from 21,325 in October 2013.