The latest new car sales figures show month on month sales were up 10.9% compared to August last year, with the market up 10.4% for the year to date.

“It is encouraging that the new car market continued to thrive during August in what is traditionally a low volume months for car sales,” said Sue Robinson, director of the National Franchised Dealers Association (NFDA), which represents franchised car and commercial vehicle retailers across the UK.

She added: “August is traditionally a small market as buyers wait for the plate change on 1 September before purchasing a new vehicle. Therefore, after such a positive increase in sales during August, we anticipate that sales of the new 63-plate to do very well.

“This month’s NFDA Dealer Attitude Survey recorded an improvement in manufacturer/dealer relationships over recent months. With the significant boost to new car registrations during 2013, and the return of consumers to showrooms, the increase in scores could partly be due to improved dealer profitability due to the recovering economy.”