The data shows that car sales in Western Europe grew by 10.7% in March. The Seasonally Adjusted Annualised Rate (SAAR) of sales continued its upward trend, climbing above 13 mn units/year for the first time in over three and a half years.

For the first quarter, the market was up nearly 9%. Accordingly, LMCA has adjusted its forecast upward to 12.8 million units for 2015, though it says there remains the potential for further positive surprises from a market that has been operating at such a low base for years.

The German car market continues to be driven by company car sales, which recorded 12% growth year‐on‐year. Despite a pick up in March (+5% YoY), the private retail side remains relatively weak, comprising just over a third of the market in the first quarter.

The UK selling rate climbed to an impressive 2.7 mn units/year in what was a key month for the market due to the registration plate change. At nearly half a million units, this is the best monthly result since the move to twice‐yearly registration plate changes. The fleet sector led the way, with 12% year‐on‐year growth.

In Spain, car sales comfortably surpassed 100,000 units last month, the first such monthly result in four and a half years; registrations were up by over 40% YoY in March, with the selling rate climbing to 1.1 mn units/year, a hugely encouraging result. The PIVE scrappage scheme continues to be pivotal to this recovery, with an eighth version in the pipeline.

The Italian market also continued to gain thanks to improving confidence, and despite a weak economic backdrop. The French market picked up well in March, rounding off solid growth in all big five West European markets.