CAR production in the UK went into reverse during the final three months of last year, figures showed yesterday.

A drop in domestic and export orders left output down 8.2 per cent compared with the previous three months, the Office for National Statistics (ONS) said.

Of the 369,728 cars manufactured in the final quarter, a total of 73,041 were for the home market - a 12.2 per cent decline.

It concluded a tough year for the UK motor industry following the collapse of MG Rover and the closure of its Longbridge plant.

According to the ONS, there was a seven per cent fall in exports between October and December against the previous three months.

Compared to 2004, production fell 18.4 per cent at home and 2.6 per cent on exports.

The ONS added that commercial vehicle production for the three months to the end of December fell by 7.1 per cent from the previous quarter and 5.4 per cent on 2004.