UK car sales grew 4.6pc in September

Registrations of new cars increased by 4.6 per cent compared with the same month in 2021, according to the Society of Motor Manufacturers and Traders,

Some 225,269 new cars were registered in September, which is typically the sector's second biggest month of the year due to new number plates being released.

MG, which is based at Longbridge but has its cars made abroad, saw a 60.6 per cent rise to 8,759.

Jaguar Land Rover sales were down in the month. Land Rover sold 4,775 – down 10.7 per cent – and Jaguar 1,595 – a fall of 13.5 per cent.

Ford was the top brand with 20,735 sales, which were up 92.2 per cent.

September last year was the weakest since 1998, and the number of registrations last month was 34.4 per cent below pre-pandemic levels as the industry continued to battle supply problems.

Sales of new cars during the year so far are 8.2 per cent down on the same period in 2021.

More than a million new plug-in electric cars have been registered in the UK, including 249,575 this year alone.

SMMT chief executive Mike Hawes said: "September has seen Britain's millionth electric car reach the road - an important milestone in the shift to zero-emission mobility.

"Battery electric vehicles make up but a small fraction of cars on the road, so we need to ensure every lever is pulled to encourage motorists to make the shift if our green goals are to be met.

"The overall market remains weak, however, as supply chain issues continue to constrain model availability.

"Whilst the industry is working hard to address these issues, the long-term recovery of the market also depends on robust consumer confidence and economic stability."

Alex Buttle, co-founder of used car marketplace Motorway.co.uk, said: "Anyone who was expecting the traditional spike in new car uptake in September to coincide with ‘new’ number plates will be sadly disappointed.

"With widespread concern about spiralling energy costs, inflation and now mortgage increases, combined with continued supply chain issues, can we really be surprised at the marginal growth in new car sales? The glimmer of sunshine peeking through the rain clouds is EV sales which continue to stay strong."

James Fairclough, chief executive of AA Cars, said: “September’s change in registration plates is an acid test for the new car market - and on this evidence it has passed comfortably.`

“Total sales in September were up a welcome 4.6 per cent compared to the same month last year, and sales of EVs continue to go from strength to strength - more than a million have now been sold in the UK.

“Yet few car dealers will relax just yet. Supply shortages have held back new car sales for much of 2022, and overall sales for the first nine months of the year are still 8.2 per cent down on the same period in 2021.

Chris Knight, automotive partner at professional services company KPMG, said: "Car makers are still working their way through the backlog of orders that have built up as a consequence of supply shortages, but higher household costs are shaping new demand.

"As consumer credit becomes more expensive due to higher interest rates, we expect to see a fall in the average price paid for new vehicles, whilst some consumers will delay buying a new car altogether."