UK car production up 65 per cent from last year

Car production in the UK increased in January, rising 65 per cent from the same month in 2009.

Figures from the Society of Motor Manufacturers and Traders (SMMT) show 101,190 cars were produced in January, up from 85,316 in December. This is the third successive monthly rise in vehicle and engine production.

It is estimated that the government's £2,000 car scrappage scheme has been responsible for about a fifth of all new car registrations, since its introduction.

However, despite the scheme coming to an end, the SMMT expect the recovery to continue.

"SMMT expects a modest recovery in 2010 output as economic growth, a competitive exchange rate and the introduction of innovative new models to UK plants, help to lift manufacturing levels above those seen in 2009," says Paul Everitt, chief executive of the SMMT.

Author
Michael Richards

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