The UK car market has grown for the 27th month – a record for the industry.Reuters

The UK car market grew for the 27th consecutive month in May, marking a new record for the British automobile industry.

New car sales increased by 7.7% in May, according to the Society of Motor Manufacturers and Traders (SMMT). This signifies the longest stretch of growth for new cars in the UK since a 26-month run between May 1987 and June 1989.

There were 194,032 new car registrations in May, which is the highest in 10 years, and increases the total for 2014 to 1,058,974 – 11.6% higher than the same period last year.

"Over the past 27 months, increasingly confident consumers have been drawn to some fantastic new products, attracted by innovative technologies, improved fuel economy and competitive deals helping make a new car more affordable," said SMMT chief executive Mike Hawnes.

"With SMMT forecasting an overall rise of around 6% over the year, the coming months should see some levelling off in growth rates as underlying demand stabilises."

The Ford Fiesta was the highest selling car in May, with the Volswagen Golf and Vauxhall Corsa being the second and third biggest sellers.

With its sales, Ford increased its market lead over the rest of the UK by an astonishing 27%.

"UK car sales are continuing to grow and in a highly competitive market Ford has succeeded in extending its sales lead while recording significant increases in the commercially important retail and net fleet segments," said Mark Ovendon, chairman and managing director of Ford of Britain.

"Ford is continuing to invest in an outstanding vehicle range, which is stretching its market footprint through exciting introductions, such as the extended Ford Transit family, and industry-leading technologies, spearheaded by the multi-award-winning EcoBoost engine. This is backed up by the strongest dealer network in the UK."