British car sales rose by nearly 10 per cent last year to hit their highest level in 10 years at 2.476 million units, cementing Britain’s place as the European Union’s second-largest car market, an industry body said yesterday.

The Society of Motor Manufacturers and Traders (SMMT) said sales had been bolstered by strong economic confidence, but that it expected sales growth in 2015 to level off, as sales were now above historic average rates.

Mike Hawes, SMMT chief executive, told reporters that sales in 2014 had been “incredibly strong, stronger than expected” as Britain’s economic recovery boosted confidence among consumers.

Low interest rates, which facilitated attractive financing deals, were also behind the surge in demand, he said.

He said he expected sales growth of 2-3 percent in 2015, and that manufacturers’ forecasts were in the 1-2 percent region.

While sales in Britain were strong last year, Hawes reiterated that production had been ‘disappointing’ and resembled levels in 2013 due to weak exports to the struggling economies of the euro zone and Russia.

Sales across the EU as a whole rose by around 5.7 per cent in 2014, the SMMT said. Only Spain – where there were government purchase incentives – saw faster sales growth than Britain.