Jaguar and Land Rover UK sales ahead of the pack in May

After months of falling demand the UK's new car market warmed up in May with a modest rise of 3.4 per cent, as 192,649 new cars were registered.

But West Midlands-based JLR, which makes its engines at the i54 site in Wolverhampton, saw much faster growth.

Jaguar sales rose by 19.7 per cent, to 3,096, while Land Rover sales rose 16.8 per cent to 6,566.

The pace of its growth was way better than bigger car makers like Ford, Vauxhall and Volkswagen, while rival luxury auto manufacturers like BMW, Audi and Mercedes-Benz barely scraped any growth at all.

The latest figures from the Society of Motor Manufacturers and Traders (SMMT) showed demand for hybrids and plug-ins was up more than a third, while superminis, SUVs and soft-tops were also in demand in the hottest May on record.

Mike Hawes, the SMMT's chief executive, said: “May’s growth, albeit on the back of large declines last year, is encouraging and suggests the market is now starting to return to a more natural running rate.

"To ensure long-term stability, we need to avoid any further disruption to the market, and this will require sustainable policies that give consumers and businesses the confidence to invest in the new cars that best suit their needs.

"Fleet renewal is the fastest way to improve air quality and reduce CO2, and this applies to hybrid and plug-in technologies as well as the latest low emission petrol and diesels which, for many drivers, remain the right choice economically and environmentally.”

The growth last month comes after a substantial 8.5 per cent decline in the previous May when demand was hit by the dual effects of a rise in vehicle excise duty, or car tax, and general nervousness ahead of last June's General Election.

Private demand in last month grew by 10.1 per cent, with more than 83,000 consumers driving home in a new car, and offsetting continuing declines in the business and fleet sectors, down 9.6 per cent and 0.7 per cent respectively.

Registrations of petrol cars also increased, by 23.5 per cent, while diesels fell for the 14th consecutive month, down 23.6 per cent.

In the year to date, the overall market remains down, with new registrations having fallen 6.8 per cent, as economic and political uncertainty continues to hurt demand. Business and fleet confidence, in particular, continues to lag, down 16.2 per cent and 7.1 per cent respectively, while demand from private buyers in the first five months is 5.7 per cent behind 2017 levels.