There were 128,853 new registrations in January 2012 - a 0.03% rise on the figure of 128,811 in January 2011, the Society of Motor Manufacturers and Traders (SMMT) said.

The new car market is expected to remain stable this year, dipping just 1% to 1.92 million units in 2012, before recovering in 2013, the SMMT said today.

SMMT chief executive Paul Everitt said: "The January new car market held firm - a welcome sign of stability in uncertain economic times."

Last month's figures were boosted by private sales, which were up 2.7%, while there was also growth in the fleet sector.