The exact number of vehicles sold this August reached 67,006 units and the positive trend built on a similar positive month of July. This was a consecutive rise in new-car sales in the UK, as July recorded a 2.4 percent increase.
UK's scrappage scheme was introduced earlier this year and gave drivers 2,000 British pounds ($3.270) to trade in their old cars (at least ten years old) and buy a new one.
"The scrappage incentive scheme is having a positive impact but with consumer and business confidence still fragile, there remain significant risks ahead," said Paul Everitt, SMMT chief executive.
United Kingdom's best selling car in August was the Ford Focus, with the new model Ford Fiesta placing second.
Another important European car market that registered positive sales results after implementing the subsidies plan is Germany. But several industry groups fear the car market will fall into depression again as soon as the government incentives are depleted.
Although Great Britain's scrappage scheme is scheduled to end in February 2010, analysts also take into consideration the fact that it could draw to a close sooner if the 300 million pounds from the government are spent.
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