Car sales buck trend

Retail Motor Industry Federation (RMIF): As expected the Bank of England has held interest rates at 5% in May. Although we are disappointed that there has not been a further cut in rates to stimulate the economy we believe that the current rate of interest rates should help keep consumer credit affordable. We would like to see a further rate cut in June in order to keep the economy in a strong position during what could be a difficult time for consumers with rising household costs and motoring expenses.

We were please to see that the car market in April proved strong showing a 2.2% rise in the month keeping the annual registration rate on a par with 2007. There are signs that consumer confidence in the high street is weakening but we hope that the car market remains strong with the help of manufacturer incentive and competitive credit deals.