Figures show rise in car production

The Society of Motor Manufacturers (SMMT) has announced that car production increased for the first time in more than a year in November, with 112,948 vehicles manufactured in the UK.

This is a 15.7% rise on the same month last year and the first monthly rise since September 2008, reflecting the boost that the Government's "cash for bangers" car scrappage scheme gave to the motor industry.

However, production of commercial vehicles (CV) fell 16.2% last month compared with November last year. Despite the positive figures this month, year-to-date car production witnessed a 34.4% fall on the January-November 2008 figure, while CV production for the same period this year dropped by 57.6%.

Paul Everitt, SMMT chief executive, said last month's car production rise showed "the positive impact of scrappage schemes and economic stability in a number of major European markets".

He added: "Total vehicle production is still well below previous levels and 2010 is set to be another tough year with considerable uncertainty at home and abroad.

"It is essential that governments continue to sustain and strengthen economic recovery, improving access to credit and encouraging investment in new technologies and products."

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