Car registrations in the Canary Islands fell by more than 16 per cent in August, compared to the same period last year.
This latest figure is the biggest decline in car sales across Spain and sees sales for the year to date down more than 23 per cent.
Across the country as a whole the picture is somewhat brighter with sales up by 3.4 per cent on August last year, in sharp contrast to the situation in the islands.
However, those in the industry warn that much of that increase in sales came earlier in the year and cannot be expected to continue to be unaffected by the recent increases in VAT.
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