Diesel cars have faced their 11th consecutive month of decline with sales down by 23.5 percent in February.
According to the Society of Motor Manufacturers and Traders (SMMT), sales of diesel cars fell by 28,317, totalling 80,805 cars sold.
February is often a quieter month in car sales, due to the number plate change in March, which is when a quarter of all cars are registered every year.
“Looking ahead to the crucial number plate change month of March, we expect a further softening, given March 2017 was a record as registrations were pulled forward to avoid VED changes,” said the SMMT chief executive, Mike Hawes.
However, Hawes is expecting a “further softening” in March.
The rest of the car market did not see a slump and sales in petrol cars rose by 14.4 percent.
“Although the new car market has dipped, it remains at a good level despite the drop in demand for diesel,” said Hawes.
“Consumers should be reassured, however, that the latest cars are the cleanest in history and can help address air quality issues, which is why they are exempt from any restrictions.”
Sales of petrol vehicles were boosted with the new smaller models appearing on the market, including the new Ford Fiesta (NYSE: F).
Despite the long-running decline in car sales, Samuel Tombs, chief UK economist at Pantheon Macroeconomics, remain optimistic for the future in the market.
“February’s car registrations data suggest that new buyer demand is beginning to recover, having weakened substantially last year,” he said.
“February usually is the second quietest month for registrations, so we shouldn’t draw strong conclusions.
“The key test of the market will come in March, when around one-quarter of all cars are registered, due to the number plate change.”