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The motor industry created 44,000 new jobs across the sector in 2013.
The figures is contained in the just-published SMMT 15th annual Automotive Sustainability Report.
On the retail side, covering wholesale distribution, repair, maintenance, leasing vehicles and sale of fuel, the number of jobs rose 30,000 or 5.2% to 611,000 in 2013.
The report shows that Honda, for example, has put over 1,100 apprentices through its dealer apprenticeship programme over the past 13 years.
And in 2013, Mercedes-Benz UK saw a record 200 apprentice vacancies, a 65% growth in two years. In total, 1,320 apprentices have graduated from the programme since it began in 1995 and 65% of those who graduate are still with the Mercedes-Benz brand 10 years on, with many progressing to senior positions.
“The UK automotive industry contributes hugely to the country’s economic health by building millions of vehicles, engines and components here every year and employing hundreds of thousands of people,” said SMMT chief executive Mike Hawes.
“The progress made by the industry over the past year alone is hugely important.
“Growing our skills base and encouraging more automotive suppliers to base their businesses in the UK is now essential for us to maintain this positive momentum.”
Industry analysts suggest that by 2017 the UK could be building more than two million cars a year, breaking the all-time record that has stood for more than 40 years.