Registrations fell 17.5% in August to 55,305 units compared with the scrappage-fuelled 2009. Volumes, however, are up 13.2% to date against last year, at 1,300,413 units. Full year forecast suggests 2010 registrations will finish at 2m, up 1.2% on 2009.

“New car registrations were down 17.5% in August and conditions will remain challenging through the rest of the year," said Paul Everitt, SMMT chief executive. “The industry enjoyed a better than expected first half of the year and, despite the difficulties, SMMT is forecasting that new car registrations will close just ahead of 2009 figures.”

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