However, despite the overall reduction, the production of electrified vehicles remained relatively stable and accounted for 37.5% of the total output in July, only slightly down from 39.5% at the same time a year earlier.

UK domestic production was down a smaller 5.1% but notably, more than 80% of the cars produced in July were destined for export markets, with the European Union being the largest recipient, accounting for 51.3% of all exports.

On an annualised basis domestic production has risen by 14.8%, while export volumes have decreased by 14.3%.

SMMT chief executive Mike Hawes said: "Following significant growth last year, some readjustment in output was to be expected. Indeed, an ongoing degree of volatility is likely as the industry restructures to transition to zero-emission vehicle production.

"As the billions already committed to new models start to deliver a return, volume growth will resume, providing we seize every opportunity to enhance our global competitiveness."

Reporting by Iain Gilbert at Sharecast.com