New car registrations increased by about 10.8% during the month of June marking the 12th month that registrations were up, according to the SMMT (Society of Motor Manufacturers and Traders).
In the fleet market, there was a 25% increase in sales which helped to offset the end of the clunkers scheme that offered motorists cash incentives towards a new vehicle if they scrapped an old model.
The SMMT industry group warned once again though that after the overall increase of the first six months of 2010 sales volumes are due to slip down.
SMMT chief executive, Paul Everitt, stated that the new car market performed well above market expectations during June. He continued to say that the industry expects economic conditions to challenge it throughout the last six months of the year, and government action will be needed in order for businesses and consumers to receive credit.
The bestselling vehicle model in June was the Vauxhall Astra, which is the first time that the model hit the top of sales charts since 2008 in the month of February. Overall for the first half of the year, the Ford Fiesta model topped the charts ahead of both the Astra and the Focus by Ford.
The scrappage scheme accounted for only a small amount of new registrations after it closed at the beginning of 2010.
Funded by both the motor industry and the government, the scheme offered those who traded in a car that was more than ten years old for a newer vehicle 2,000 pounds.
