New car sales are revving up to pre-slump levels

Car sales will motor to pre-recession highs this year as more confident consumers splash out, the Society of Motor Manufacturers and Traders said today.

Its latest figures showed new car registrations up for the 26th month in a row, rising 8.2% in April to 176,820.

This prompted the SMMT to raise its forecasts for the year as a whole from 2.3 million to 2.4 million, on a par with 2007, as more readily available financing and easing inflation helps.

Sales in London outpaced the rest of the country with 30,966 cars sold last month, a rise of 11.2% on last year.