As the impact of recession hits the car production industry a group has called on the UK government to lend a helping hand.

The Society of Motor Manufacturers and Traders (SMMT), according to a report, urged the government to do more to boost short-time working and provide easy access to credit and finance, which will enable people purchase cars and take out car insurance policies.

Figures from the society have recently revealed that declining demand for vehicles has caused manufacturers to cut down car production.

“The large fall in February’s vehicle production is a direct result of weak demand and the need to protect the highly-skilled workforce and valuable industrial capability in the UK automotive sector,” said SMMT chief executive, Paul Everitt.

Meanwhile, following a fall in demand for new cars there has been a corresponding rise in demand for second-hand vehicles.

In a separate development, a group has suggested that car insurance cover is cheaper for female than male drivers because female motorists are considered safer by insurers.