Tom Powell
CAR sales in Britain have reached their highest level for a decade thanks to a surge in demand for fuel-efficient vehicles, and Spain is following suit.
This – combined with a renewed consumer confidence – has led to half a million new cars being registered in Britain last month.
The rise is due to motorists preferring cars that can achieve more miles to the gallon, as well as an increase in customers leasing vehicles, as opposed to buying it outright.
Last month was the most successful since March 2004 and registrations are beginning to near pre-recession peaks, according to the Society of Motor Manufacturers and Traders.
Meanwhile in Spain, the six year sales slump appears to be fading into the past as registrations rose 10% for a seventh straight month as a result of sales incentives.
Spain registered a first-quarter car sales increase of 11.8%, much higher than Italy’s 5.8% and the 2.9% in France.
Car registrations fell dramatically across Europe during the economic crisis as unemployment rose and incomes fell.
These sales are fuelled by compensation for various bank/insurance mis-sellings. Might as well buy a new car as save in rubbish accounts, paying zero or close to zero interest.
As for Spanish sales, Well, those brown envelopes have to be spent somewhere….