U.K. 1H Car Sales Rise To Highest On Record: SMMT

(RTTNews) - U.K. new car registrations increased to the highest half-year total on record in the first half of 2015, the Society of Motor Manufacturers and Traders, or SMMT, reported Monday.

The number of registered cars increased 7 percent to 1,376,889 units in the first half from 1,287,265 units in the previous year period. This bettered the previous record of 1,376,565 units in the same half-year period of 2004.

Buyers' appetite for British-built cars increased in the first half, with 13.9 percent choosing a UK-manufactured vehicle so far this year, which is the highest level in five years. SMMT said low interest rates, attractive finance deals, and new models led consumers to buy new cars.

In the first half, diesel-powered car sales rose 3.5 percent, petrol-powered vehicle registered increased 8.4 percent, and alternative fuel vehicle sales jumped 62.5 percent.

Segment-wise, private vehicles registered rose 2.1 percent and fleet vehicle sales increased 13.1 percent, while business vehicles registered declined 5.5 percent.

SMMT also said June marked the 40th consecutive month of growth in the market, with car sales rising 12.9 percent from last year to 257,817 units. This compares to 228,291 units in the same period last year. This was due to strong surge in demand for alternatively fueled vehicles.

"It is still a great time to buy a new car in the UK, and it is encouraging to see more consumers choosing British models. This is important for the wider economy with 799,000 people now employed across the UK automotive sector, including retail. We anticipate a flatter second half of the year as the market finds its natural running rate," Mike Hawes, SMMT chief executive said.