SMMT increases car registration forecast

By Matthew Plant - Financial specialist

The SMMT (Society of Motor Manufacturers and Traders) has predicted a steady rise in the number of new car registrations over the next few years.

In its latest forecast, the SMMT said that although registrations would fall by 3.6% this year, compared with last year`s figures, next year would see a 1.7% rise, followed by a 5.4% rise in 2021.

SMMT chief executive Paul Everitt said: "SMMT`s latest forecasts reflect the better-than-expected results in the first quarter and improving consumer confidence. The coming months will be challenging now that the scrappage scheme has ended, but industry remains cautiously optimistic."

A car finance expert at Think Money commented: "The end of the scrappage scheme may hit new car registrations this year, but we would expect to see increases in the future as the economy recovers further and car loans become more readily available."

Tags: car, car registrations, new car, new car registrations

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