The UK automotive sector has defied the national trend and avoided the double dip that has been plaguing the economy throughout the year, the Society of Motor Manufacturers and Traders (SMMT) has revealed.

According to the organisation, the UK car, van and truck industry witnessed an annual turnover of £55 billion, with more than 40 international companies basing their operations in Britain.

In addition, the sector continues to be a driver for growth and recovery, employing in excess of 700,000 people.

SMMT chief executive Paul Everitt added: "The UK has out-performed our European partners during 2012 with vehicle manufacturing and new car registrations rising strongly through the year."

Meanwhile, Mr Everitt recently wrote to chancellor George Osborne urging the government to make clear its position on vehicle taxation in the UK, as there are currently concerns regarding Company Car Tax, vehicle excise duty and future changes to the Writing Down Allowance.

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