Record electric car market powers bumper September
The UK new car market accelerated in September, with registrations up 12.0% to 350,536 units, according to figures published today by the Society of Motor Manufacturers and Traders (SMMT). The result marks a 10th consecutive month of growth and the strongest September since 2017. The plate-change month is one of the year’s most important, typically accounting for around one in seven annual registrations. While consumer confidence has improved recently and GDP growth been more resilient than expected, the overall growth is largely being driven by intense competition – significantly from new entrants – increased choice and attractive deals which are encouraging many into the new car market who might otherwise have bought used.
Growth was recorded across all sales types. Fleet registrations rose 9.6% to 190,998 units, representing 54.5% of the market, while private demand increased 13.9% to 149,166 units and a 42.6% share. Registrations by the smaller business sector grew 37.3% to 10,372 units.
Electrified vehicles helped power growth, taking a record 58.4% of registrations. Hybrid electric vehicle (HEV) uptake dipped -4.3% reducing market share to 13.1%, but plug-in hybrid (PHEV) registrations surged 55.5% to take a record volume and share at 17.0%. Battery electric vehicle (BEV) demand, meanwhile, climbed 36.3% to a record high volume of 99,201 units with market share up five percentage points to 28.3%. That equates to almost five new BEVs registered every minute – more than double the rate three years ago – as buyers respond to unprecedented model choice, especially in the smaller segments, compelling discounts and government’s Electric Car Grant.
Since 2023, the number of BEV models on the market has more than doubled, with 178 now on sale. Alongside over 110 PHEV and 50 HEV models, the UK’s electrified offering now represents more than three quarters of new cars available. This expanded choice, along with substantial manufacturer discounts and government incentives, delivered September’s landmark result but it also shows the scale of the challenge ahead.
454,947 new BEVs have now been registered in the first nine months of the year, accounting for 26.2% of registrations, significantly below the 33% mandated for 2026 and behind even last year’s target of 28%. Based on the latest industry outlook for a 2.183-million-unit market, a 33% share would require an additional 265,000 new BEV registrations in the final quarter alone, illustrating how, despite the range of regulatory flexibilities available, targets continue to outpace demand.
The Mandate review is an opportunity to ensure the transition to EVs supports long-term growth. Aligning regulation more closely with market development would strengthen UK competitiveness, unlock further investment in new models and plants, support jobs and create a robust, sustainable market capable of delivering the decarbonisation the UK needs.
Mike Hawes, SMMT chief executive, said, “September’s record EV performance is a major achievement. Drivers are increasingly embracing the growing choice of models made available and high fuel prices are also undoubtedly giving more consumers reason to consider going electric. The industry’s commitment is clear with billions of pounds of investment in new models, new technology and incentives. Despite all these factors, uptake remains behind mandated targets and, whilst flexibilities help, the UK still has the world’s toughest targets and highest energy costs. The Mandate review is an opportunity to review those factors, to build on this momentum and support consumers but, in doing so, strengthen business viability and UK competitiveness.”
