Latest official figures show that car buyers have stayed away from showrooms for the sixth month running.
Statistics from the Society of Motor Manufacturers and Traders show that new car sales were 23 per cent lower than October 2007. Just 128,352 (38,445 fewer) cars were sold. This period covers the height of last month's banking crisis.
The knock-on effect of crumbling sales is that dealers are slashing prices and offering unprecedented deals. Parker's has reported in the past four weeks on a 'buy one get one free' offer on a Dodge Avenger 2.4-litre saloon, Vectras being offered for the price of a Corsa and Saabs available to retail buyers with a staff discount.
Unprecedented number of deals
Buyers that are cash buyers and don't need finance could really benefit from the slump in new car sales. Some dealers are already reported to be closing branches and making redundancies to save money and every sale is being fought over. Parker's has seen a number of 58-plate family cars being offered at knock-down prices and this trend is set to continue in the coming months.
Dealers that have seen the biggest drops in sales - and are therefore most likely to be offering the best deals - include Chrysler, Jeep, Land Rover, Renault, Mitsubishi and Lexus. Many dealers have been turning away these types of car and private sales remain slow.
Paul Everitt, SMMT chief executive, said: “October has proved another difficult month for the UK motor industry and action is needed to help restore consumer confidence and encourage buyers back to the showrooms.”
Only Volvo, Dodge and Jaguar reported an increase in sales for October. BMW has recently announced that it will be stopping production on the MINI for a month, while Jaguar and Land Rover will be extending a voluntary redundancy scheme.
The best selling cars in October
 | 1 | Vauxhall Corsa | 7570 | | 2 | Ford Fiesta | 7139 | | 3 | Vauxhall Astra | 5640 | | 4 | Ford Focus | 5027 | | 5 | Volkswagen Golf | 4237 |
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The worst hit manufacturers in October
 | 1 | Chrysler | -75.7% | | 2 | Jeep | -62.5% | | 3 | Ssangyong | -60.9% | | 4 | Land Rover | -57.9% | | 5 | Renault | -53.7% |
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