1 March 2012

Profits for the UK car industry forecast to climb in March

A report by the Society of Motor Manufacturers and Traders (SMMT) has revealed that March is going to a bumper year for the British motoring industry.

The third month of the year will be the most profitable yet in 2012, according to the study.

British drivers are expected to spend up to £5 billion on new car purchases in March – with an estimated 350,000 new vehicles expected to be registered this month.

Further findings show that car sales for March will generate £1 billion in revenue for the UK, which will provide a much needed boost to the country's ailing economy. In fact, SMMT predicts that March will account for almost a fifth of the year's trade.

Drivers' preferences

The report also highlighted the items that were to be found on the average car-related shopping list.

Digital radios are fast becoming a ‘must-have' item for new car owners. While silver and blue are also set to be popular colour choices for cars purchased in March.

More British drivers are opting for Supermini models, with this model occupying 36.3% of the total market. Further figures show that drivers are turning to vehicles powered by alternative sources of fuel. This includes models that are hybrid, pure electric and biofuel models.

With current fuel prices on the rise it comes as no surprise that drivers are opting for fuel-efficient models.

The steep rise in the cost of car insurance premiums is another strain on drivers' motoring budgets. With motor insurance costs also experiencing a yearly hike, car ownership is becoming a distant possibility.

Motorists who are feeling the squeeze of car-related bills may be considering trading their vehicle ownership for a rental agreement or the delights of public transport. Brits in this situation can compare and buy car hire insurance online.