UK demand for new cars was unwavering in the face of political uncertainty last month as registrations hit a decade high.
Sales rose 5.1% to 185,778 vehicles in what was the strongest April since 2005, according to the Society of Motor Manufacturers and Traders (SMMT) .
The jump is at odds with reports from some business surveys and companies which say customers are putting off purchases because of uncertainty over the general election.
The SMMT said the rise in new car sales last month continued a pattern of growth around general elections that dates back to 1979.
Six of the last nine general elections have coincided with a spike in new car sales in the three months immediately before and after polling day, according to the trade body.
Exceptions were the elections of 1992 and 2010, which coincided with downturns, as well as 2005.
“The figures highlight the current strength of consumer confidence, even at a time of such political uncertainty,” said Mike Hawes, SMMT chief executive.
He added: “We are confident that the UK’s new car market – so symbolic of economic mood – will continue to thrive, but long-term success will depend largely on economic and political stability in the months and years ahead.
“Whatever the outcome of today’s election, the next government must act quickly to uphold economic certainty and reassure consumers and markets.”
New car sales in 2015 so far are up 6.4% compared with the same point last year, at 920,366. Consumer appetite has been boosted in part by cheap finance deals making new cars more affordable.
Britain’s car industry has smashed records going back to 1959 with the longest-ever period of sales growth of new cars. April marked the 38th consecutive monthly increase.
The top three bestsellers last month were the Ford Fiesta, the Ford Focus, and the Volkswagen Golf.
The sales increase was driven largely by fleet sales – of more than 25 vehicles – which were up 9% in April. Private sales rose 2.7% while business sales were down 12.4%.
Howard Archer, chief UK economist at IHS Global Insight, said: “The economic fundamentals still look largely healthy for the motor industry which will hopefully allow car sales to be sustained at a robust level over the coming months.
“The autos sector will be hoping that there is not prolonged political uncertainty following the general election that fosters increased business and consumer caution and weighs down on economic activity.”
