UK car production continued to decline by 6.7% to 106,400 units in October but the rate is slowing down with car outputs in particular.

Production was down by 38.1% year-to-date to 801,169 units.

Paul Everitt, Society of Motor Manufacturers and Traders chief executive, said: “The rate of decline in UK car production continued to fall in October, against a weak 2008.

“The scrappage scheme and early signs of recovery in global markets offer some encouragement to UK vehicle producers, but 2010 is expected to be another difficult year for the industry.

“SMMT has asked the chancellor to use the pre-budget report to help sustain and strengthen recovery. Building business and consumer confidence will be key factors during the first half of 2010.”