Latest figures from the Society of Motor Manufacturers and Traders (SMMT) show that October registrations reached a total of 157,314 in October, an increase of 4.0% and the 20th consecutive month of growth in the new car market. As a result, the SMMT has raised its forecast from 2.22 million to 2.25 million units for 2013 – 10% ahead of last year. The organisation has also forecast that the market will stabilise and grow at around 1% in 2014 and 2015.

Demand from private buyers was strong in October, with registrations up 4.5% to 71,235. The fleet market remained stable, with growth of 0.2% from 77,746 units to 77,880. However, it was the sub-25 business sector that saw the most robust growth, with registrations up 54.1% from 5,319 to 8,199 units.

For the year to date, the fleet market is ahead 4.4% on last year, with registrations up to 920,111 units from 881,210 for the first 10 months of 2012. Sub-25 business registrations are up 18.0% to 91,468 from 77,518 while the private market rose 15.7% to 940,659 units. In total, new car registrations year to date stand 10.2% ahead of 2012 at 1,952,238 units.

‘With October new car registrations up we have now seen 20 consecutive months of growth,’ said Mike Hawes, SMMT Chief Executive. ’These sustained rises have been driven by robust private demand, a trend that has given us the confidence to raise our year-end forecast to 2.25 million units – 10% ahead of last year. Looking ahead, we anticipate more moderate growth as the market stabilises.’