Demand for British car brands Jaguar and Land Rover has given car dealership Pendragon a boost as it reported a 14 per cent rise in annual profits.

Pendragon’s upmarket brand Stratstone – which has two franchises in Bradford (Mercedes and Honda) – boosted operating profits by £1 million to £26.9 million in the year, helped by particularly strong sales for BMW, Jaguar, Land Rover and Mercedes-Benz.

The division, which features 84 franchises, increased new registrations by 14 per cent, compared with 11 per cent for the brands that it represents.

Evans Halshaw, which has a Citroen franchise in Bradford, increased new car volumes by 20 per cent in the period, driven by its Ford, Vauxhall, Renault, Peugeot and Hyundai franchises.

Operating profits at the division, which is the UK’s leading volume motor car retailer with 132 franchise points, rose by £400,000 to £27.4 million as it focused on expansion opportunities in the year.

The profits hike follows a good year for the UK car industry, with Europe’s second-largest market growing by 11 per cent to 2.26 million registrations.

Nottingham-based Pendragon added that its online performance topped expectations, with growth of 22 per cent and more than 13 million website visits.

The Society of Motor Manufacturers and Traders has predicted car sales will grow by 1.2 per cent this year.