New car registrations rose for the 40th consecutive month in June, growing 12.9 per cent, as revealed in the latest figures from the Society of Motor Manufacturers and Traders (SMMT).

In total, 257,817 vehicles were sold, as attractive finance packages and consumer confidence continued to encourage new car sales, according to leading vehicle finance provider, Close Brothers Motor Finance.

Commenting on the figures, James Broadhead, CEO of Close Brothers Motor Finance said: “This is now the longest ever period of consecutive growth in the new car market, with record half-year sales in the first six months of 2015, which is great news for the industry.

“Although the rate of growth slowed slightly in May, the market seems to have regained momentum and continues to expand steadily.

“A key factor behind this sustained growth is the increasing confidence among consumers, which reached a 15-year high in June**.

“Consumers appear more willing to spend as low inflation rates continue to boost disposable income and this is further supported by the wide range of finance packages on offer that make buying a new car more achievable.”

Overall registrations in 2015 have now reached 1,376,899, rising seven per cent on the same period last year.

Mr Broadhead continued: “Sales of fleet and business cars have also been an important contributor, as many drivers who purchased a new car three years ago when economic conditions started to improve have now come to the end of their term and are switching to newer models.

“There are also new innovations, such as safety improvements, alternative fuels and models released by manufacturers that have encouraged people to change their cars.

“The challenge now facing the industry is to maintain this upward trajectory and that is why we’re focused on working closely with our dealer partners to ensure they are well positioned to overcome any challenges and seize new opportunities that arise as the market continues to evolve.”

For more information about Close Brothers Motor Finance please visit www.closemotorfinance.co.uk

*SMMT, July 2015, June new registration figures **GfK, June 2015, UK consumer confidence surges to 15-year high