Car Sales in U.K. Flat in July, Up 3% in August

New-car registrations in the U.K. rose 3% to 81,600 units in August, as a 7% rise in fleet volume offset a slight dip in retail sales, the Society of Motor Manufacturers and Traders Ltd. reports. The group says sales of Volkswagen brand cars plunged 25%.

The modest improvement compares with flat sales of 178,500 units in July. The trade association says a 5% gain in fleet sales balanced a decline in private registrations.

Sales through the first eight months of 2016 totaled 1.68 million vehicles, up 3%. SMMT has been predicting a sales slowdown after seven years of expansion. Analysts say the U.K.'s vote to leave the European Union also could dampen demand. They say September sales, traditionally the strongest of the year, could soften.