Figures published by the Department for Transport show that 3,221 people died in road accidents in 2004, down 8% on 2003, when 3,508 people were killed.
Transport Minister Stephen Ladyman said the figures were encouraging but warned against complacency.
He said: ‘Nearly nine people a day still died in road accidents last year and that figure is too high. Britain has one of the best road safety records in the world and the Government is committed to improving it further.
‘We are currently taking a Road Safety Bill through Parliament which contains a raft of measures to build on the progress we are making.’
Kevin Clinton, head of road safety at the Royal Society for the Prevention of Accidents (RoSPA), said: ‘Enormous efforts have been put in by the Government, local authorities, police camera partnerships and organisations such as RoSPA to save lives.
‘Despite the criticism, speed cameras and traffic calming are extremely effective and we hope people will look at these figures and realise the benefits.’
A spokesman for road safety partnership RoadSafe said: ‘We welcome this confirmation of a continued decline in casualties.However, until the whole community accepts some measure of responsibility, people will continue to be killed and injured.’