The UK motor industry has predicted a record year for new car sales despite a lull in registrations in April.

The Society of Motor Manufacturers and Traders (SMMT) has reported that new car sales dropped 3.8 per cent to 187,004 in April, but the slight decline was mitigated by March's exceptionally strong figures.

The SMMT has revised its forecast to 2.6 million car sales this year, up from its original estimate of 2.5 million, on the back of a healthy UK economy.

SMMT chief executive Christopher Macgowan commented: "Despite a slight dip in April, we are confident of a fourth consecutive record year for the new car market.

"March registrations exceeded expectations by nearly 17,000 units, so it is not surprising that this momentum has not continued in April.

"A strong underlying economy, raft of new model launches and intense competition should see total registrations hit 2.6 million units by the end of the year."

The UK's best-seller was once again the Ford Focus, outselling the second placed Fiesta by 64 per cent.

According to the SMMT, the Volkswagen Golf was the top selling diesel model in April, the first time since May last year. The Ford Focus is the best selling diesel so far in 2004.

Meanwhile, year-on-year sales of MG Rover cars last month increased by seven per cent to 7,265 units, but sales of Rover cars slipped 13 per cent.