Jan 5 (Reuters) - The following are the top stories in the Financial Times. Reuters has not verified these stories and does not vouch for their accuracy.

Headlines

UK has reached 'peak car', says industry body boss http://on.ft.com/2hSRMLV

May picks career diplomat as UK's new man in Brussels http://on.ft.com/2hSQ8Kr

UK higher education reform plans are 'a risk too far' http://on.ft.com/2hSH2NO

Overview

British new car sales hit a record of 2.7 million units in 2016 despite fears that the Brexit vote could hit demand, although there are signs that registrations will fall this year, according to the latest figures from the Society of Motor Manufacturers and Traders.

British Prime Minister Theresa May appointed a senior career diplomat as envoy to the European Union on Wednesday to replace an ambassador who quit with a scathing resignation letter that exposed frustration among officials over her strategy.

UK government's plan to open up the higher education market to greater competition would allow private bodies a faster route towards awarding their own degrees and nearly three-quarters of private colleges will remain unregulated, according to a study by the Higher Education Policy Institute.

(Compiled by Ismail Shakil in Bengaluru)