New car sales figures have shown strong growth with month-on-month sales up 12.7% compared with July last year. Private registrations increased by 11.9%.

Sue Robinson, director of the National Franchised Dealers Association (NFDA), commented: “It is extremely encouraging that new car sales continued to improve in July with year-to-date growth now at 10.3%.”

“Consumer confidence continues to grow with the British Retail Consortium reporting an increase in high street retail sales of 2.2% during July.

“Dealers are reporting increased footfall in showrooms as consumers are drawn in by new products and services offered by dealers and manufacturers. With such strong manufacturer and finance offers currently available dealers are reporting that it is proving much easier to close a sale. However competitive pricing and strong incentives remain important if the sales trend is to continue throughout 2013.”