The Society of Motor Manufacturers and Trader said that even though, the scrappage scheme has concluded, yet its sales have hiked 10.8% in comparison to the same month in the previous year. In June, the total number of registrations have been pushed up to 195,226 with a 25% boost in fleet sales.

In addition to this, the Company has experienced a 19% augment by the January-June 2010 new-car accounting to a total of 1,108,662, in the first half of last year, particularly, the time when recession had badly hit the motor industry.

Paul Everitt, the SMMT Chief Executive, said, “The new car market continued to perform above expectations in June. The results indicate improved business confidence and a strengthening economic recovery. The industry still expects challenging economic conditions in the second half of the year”.

Mr. Everitt also added that in order to maintain ‘the momentum of recovery’, it is essential that Government allows access to credit for costumers and businesses. On the other hand, for the private purchasers, the sales of new cars have fallen by 3.3%.

The end of the scrappage scheme is partially responsible for this fall, because of which, new orders almost closed down in the month of March. This plan by the Government was the basic driver behind a 24.6% hike in private requirement in the first half of this year.