New car sales for the first nine months of the year are up 30 per cent on the corresponding period last year, figures just released by the Society of the Irish Motor Industry (SIMI) confirm.
To the end of September a total of 93,186 new cars were sold, an increase of 30 per cent on the same period last year.
Car sales in September (3,919) saw a 24 per cent increase on the same month last year (3,161).
HGV (Heavy Goods Vehicle) registrations although down by 12 per cent in September, remain ahead of last year by 24 per cent while LCV (Light Commercial Vehicle) registrations have seen an increase of 67 per cent for the month of September and 48 per cent year to date. The figures indicate progress toward recovery but starting from a very low base and the Industry remains concerned that the recovery, at this early stage, is still extremely fragile.
Commenting on these figures Alan Nolan Director General of SIMI said:
“The new number plate has exceeded expectations. We had expected that the second peak would take time to establish itself but we have already seen a strong shift into this second half of the year with the 142 registration”.
He continued “The Industry has seen improved business levels this year and has collected an additional €200Milion for the Exchequer from new car sales alone and has created thousands of additional jobs around the country. We have now moved to about 60% of average car sales in pre-recession years but recovery is still very fragile, being dependent on both consumer confidence and levels of disposable income.
Jim Power, Economist commenting at the recent launch of the SIMI Quarterly Report said:
“It is clear that the Motor Industry recovery is making a very positive contribution to tax revenues and employment. It is vital that the Government would do nothing in Budget 2015 to threaten that recovery”.
In the lead-up to the Budget SIMI has been calling for stability for the Industry with no increases in taxation on consumers and specifically no tax increases, such as VRT and Road Tax, that might impact on new car sales. If there are no negative changes then the recovery in the sector will continue, driving further additional tax revenues and thousands of new jobs.
For more information on SIMI Pre-Budget Submission go to www.simi.ie