New cars sales down 12 per cent year on year

New car sales plumeted by 12 per cent last year, compared with 2011, statistics released today by the Society of the Irish Motor industry confirm.

New car sales were down 12 per cent on 2011 at 79,498. “This figure is very much in line with our predictions,” Alan Nolan, Director General of SIMI said.

December new car sales were down 15 per cent on December 2011. “Last year, customers were incentivised to purchase their new car in December in order to avail of the lower VAT rate (VAT was increased in the last Budget) so this would certainly have impacted on the reduction in sales in December,” Nolan said.

“The Motor Industry is often used as a barometer for the economy and we hope, with consumer confidence seeing some slight pick up of late, combined with the new number plate, that interest will grow in the coming weeks,” Nolan added.