UK car production increases by 22%

Almost 120,000 cars were built in the UK in July, a rise of 22% over the same time a year ago, and the 13th consecutive monthly increase in production, new figures showed today.

A total of 119,882 cars were produced in UK factories last month, taking the year-to-date total to 875,998, an increase of 15%.

There were 9,004 commercial vehicles built, down by 1.3% on a year ago, and 180,109 engines, 1.9% fewer than in July 2011.

Paul Everitt, chief executive of the Society of Motor Manufacturers and Traders, said: "Car manufacturing continued to perform well, with output up more than 22% for the month and 15% for the year to date.

"While uncertainty in Europe remains a challenge, the £6 billion investment committed to the UK in the last two years delivers long-term growth opportunities and the latest figures show that our products have enormous global appeal."

Commercial vehicle production was down 7.7% for the first seven months of the year, while engine production was up 0.3%.

Car production has shown some huge increases this year. There was a 23% increase in February compared to the same month last year, while in May it rose more than 40%, mainly due to a fall in manufacturing last year as a result of the Japanese earthquake.

Almost 80% of cars built in the UK are exported, the figures showed.

The Unite union's assistant general secretary, Tony Burke, said: "Britain's car industry is continuing to buck the trend being set by an unsupported manufacturing industry.

"The month-on-month increase in output is proof that investment works and that, when skilled UK manufacturing workers get the opportunity, they deliver world-class products.

"The Government needs to learn lessons from the automotive industry and urgently begin an active and interventionist strategy to support UK manufacturing.

"We urgently need a Plan B for growth and the creation of decent jobs."

PA