British car sales fall 1.7% in May (UK)

New car sales in Britain have fallen just a mere 1.7% year-on-year in May, the tiniest reduction of 2011 yet. The SMMT said 150,431 cars were registered last month. Sales of fleet and diesel markets surged by 10% on 2010 levels.

The Volkswagen Golf was the best-selling diesel vehicle last month. Sales of city-cars and superminis have increased for the first time in 11 months, while sales of dual-purpose vehicles (MPV, SUV, crossover), executive, and luxury cars have shown the best growth rates during May.

“New car registrations for May were down just 1.7% on 2010 levels, with strong performances in the fleet and business sectors,” said Paul Everitt, SMMT Chief Executive. “Consumers remain cautious, but with significantly improved fuel economy, service plans and more affordable finance, there is great value on offer across the market.”

Chief executive, Paul Everitt said there was value across the market, even though it remains cautious.

“Consumers remain cautious, but with significantly improved fuel economy, service plans and more affordable finance, there is great value to offer across the market," he said in a statement.

Sales of diesel cars increased to 52.9%, up from 46.9% from May last year, with sales from the private sector plummeting 15.3%. Once again, the best-selling supermini and car was the Ford Fiesta, followed by the compact Ford Focus. The best-selling large family car was the Vauxhall Insignia, outselling the Volkswagen Passat and Ford Mondeo.

Meanwhile, registrations of buses and coaches have fallen 23% year-on-year with commerical van sales spiking 17.7%.