New car registrations rose by 2.4% in July 2009 to 157,149, the first month of growth since April 2008.
The latest figures from the Society of Motor Manufacturers and Traders put the rise down to the positive impact of the scrappage scheme, but July is not known as being a high volume month.
The scrappage scheme accounted for 21% of July’s registration total with 33,026 units registered. According to the SMMT, 84,361 vehicles have been registered under the scrappage scheme since May 18.
Registrations from private buyers and of small cars were up in July 2009 but the market is still down almost 550,000 units over the past 12 months. Indeed, the market is expected to fall 14.4% to 1,825,000 units this year and decline a further 5% in 2010.