European car registrations dropped in December, declining for the third month in row, industry data showed today.

The drop came as measures to restrict a second coronavirus wave hit sales in most of the continent's largest markets. 

In December, new car registrations dropped by 3.7% year-on-year to 1.215 million vehicles in the European Union, Britain and the countries of the European Free Trade Association (EFTA).

This is according to figures from the European Automobile Manufacturers' Association (ACEA) showed. 

Sales in Europe's five largest markets posted different results. 

Registrations in the UK, France and Italy fell by 10.9%, 11.8% and 14.9% respectively, while Germany recorded a rise of 9.9% and sales in Spain remained unchanged year-on-year. 

Sales at Volkswagen and PSA rose by 8.2% and 1.7% respectively, while Renault reported a drop of 15.6%. 

Luxury automakers also posted losses in December with BMW's sales falling 9.5% and rival Daimler reporting a 14.8% decline. 

ACEA said 2020 saw the biggest yearly drop in car demand since records began, with new car registrations falling by 24.3% compared to 2019. 

Spain posted the biggest drops among Europe's largest markets with sales falling 32.3% and while Germany reported a narrower fall of 19.1%.