UK car sales hit a five-and-a-half year high in September, buoyed by rising consumer confidence, to post a 19th consecutive monthly increase.

A sustained surge in demand driven by attractive financing offers and sustained hopes of an economic recovery has helped the UK defy the worst slowdown in European sales for two decades.

UK dealerships sold 403,136 new cars in September, the highest since March 2008, up 12.1 per cent on the same period last year, according to data from the Society of Motor Manufacturers and Traders .