New car registrations climbed 13.5% in May, marking the 11th monthly rise in succession.
Only 2.7% of the market was due to scrappage. The fleet and private sectors both showed growth, up by 16% and 12.3% respectively on May 2009.
Volumes over the first five months of 2010 have risen 22%, however that growth reflects the weakness of the 2009 market.
The Society of Motor Manufacturers and Traders still expects the 2010 full year result to be down slightly on last year as a result of the closure of the scrappage incentive scheme.
SMMT chief executive Paul Everitt expects the coming months to be “extremely challenging”. He added: “It is essential that the upcoming emergency budget (on June 22) promotes consumer and business confidence to maintain economic recovery.”