Ford Fiesta (bankerwin/Bigstock.com)

The Society of Motor Manufacturers and Traders has said an upbeat mood in the economy has helped UK car sales surge to their highest level for 10 years.

2014 saw sales increases each and every month, with 34 back-to-back monthly rises by December.

A pent-up demand for new cars after years of recession was a key factor, says the SMMT.

New registrations slumped to just two million in both 2009 and 2011, after sales began dropping sharply in 2008, when the recession started.

However, the SMMT expects demand to reduce in 2015.

The UK car market is now the second largest in the EU, behind Germany.France, while having around two million more residents, has seen subdued car sales in recent years.

There was good news for the UK’s electric car industry too, as sales rocketed to 14,498 last year, from 3,586 in 2013.

However, it will come as no surprise to many of our annual breakdown cover customers that old stalwarts the Ford Fiesta and the Vauxhall Corsa remain Britain's most popular cars.

Reasons for the upsurge in demand

Along with a release of pent up demand from the recession years, extra cash has also been released into the economy through millions of pounds worth of PPI pay-outs.

A range of credit options have also been made available, and have become very popular. Ford alone says that 94 per cent of their dealership-sold cars are purchased with finance options.

Here’s a run-down of the UK’s top selling cars in 2014, with sale figures:

1. Ford Fiesta: 131,254

2. Ford Focus: 85,140

3. Vauxhall Corsa: 81,783

4. Volkswagen Golf: 73,880

5. Vauxhall Astra: 59,689

6. Nissan Qashqai: 49,909

7. Volkswagen Polo: 48,004

8. Audi A3: 45,581

9. Fiat 500: 44,005

10. Nissan Juke: 39,263