The UK’s new car market declined in August, but there are positive signs for the electric vehicle market, new data from the Society of Motor Manufacturers & Traders shows.
The group’s data shows UK new car registrations declined by -2.0% in August to 82,908 units, during what is normally the quietest month of the year, generally accounting for less than 5% of annual deliveries ahead of September’s number plate change.
The zero emission transition, fuelled by manufacturer investment in model choice, hefty discounting, and a new fiscal incentive from government, drove battery electric vehicle (BEV) registrations up by 14.9% to reach a market share of 26.5% – the highest this year and the fourth highest on record.
This replicates the pattern in 2023 and 2024, where August’s low overall registration volumes and high fleet concentration resulted in significantly larger BEV shares than those recorded across the rest of the year.
BEV growth was only outpaced by plug-in hybrid vehicle (PHEV) uptake, which rose by 69.4% to deliver an 11.8% market share. Hybrid electric vehicle (HEV) uptake, meanwhile, fell by -13.9% to account for 11.4% of the market.
“August was the best month yet this year for EV market share, and while it is often volatile due to low overall volumes, the overall trend is positive,” said Mike Hawes (SMMT Chief Executive).
September will be critical, with the new number plate factor typically driving around one in seven new car registrations for the year, he said.
“There is now a vast choice of electric models across all segments and many consumers will also, for the first time in three years, benefit from a grant to help them switch to electric.
“With more models being added to the Government’s Electric Car grant each week, there is now every reason for drivers to make the switch, helping deliver both economic growth and decarbonisation.”
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