The UK’s new car market grew for the second consecutive month in June, as registrations rose 6.7% to 191,316 units, according to the latest figures from the Society of Motor Manufacturers and Traders (SMMT).
It was the best June since 2019, helping lift first half performance 3.5% above the same period last year, although the market remains 17.9% behind pre-Covid levels.
Once again, the market was driven by fleet activity, though private retail demand grew 5.9%.
New petrol registrations declined 4.2% and diesel volumes were flat (+0.2%), meaning their combined share of the market is now just over half (51.6%), with total electrified vehicle registrations (92,571) achieving a 48.5% market share. Registrations of vehicles with plugs rose strongly as battery electric vehicles (BEVs) jumped 39.1% to 47,354 units, equivalent to a quarter (24.8%) of the market, and plug-in hybrid electric vehicles (PHEVs) grew 28.8% to 21,382 units. The market for new hybrid electric vehicles (HEVs), meanwhile, fell by 8.5% to 23,835 registrations.
Across the first six months of 2025 new BEV registrations have risen 34.6% to 224,841 units but, at 21.6% market share, they remain significantly behind the 28% mandated for this year. Moreover, the SMMT said achieving this level of market penetration has required discounts totalling £6.5 billion over the last 18 months.
In a recent survey of automotive CEOs carried out for SMMT’s new Automotive Business Leaders Barometer, more than half (55%) said they believe the UK is significantly behind plan to meet the 2030 end of sale date for new cars powered solely by combustion engines.
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By GlobalDataMike Hawes, SMMT Chief Executive, said: “A second consecutive month of growth for the new car market is good news, as is the positive performance of EVs. That EV growth, however, is still being driven by substantial industry support with manufacturers using every channel and unsustainable discounting to drive activity, yet it remains below mandated levels. As we have seen in other countries, government incentives can supercharge the market transition, without which the climate change ambitions we all share will be under threat.”
