This followed a 55% drop in production during April on a 12-month basis, the SMMT said.

The governments £2000 scrappage scheme - paid for jointly by the taxpayer and the industry appears to be having some impact.
 
"The scrappage schemes in place across Europe are now beginning to have a positive impact, although the full benefits will take a little longer to flow down to companies at all levels in the supply chain," SMMT chief executive Paul Everitt said.