SMMT new registrations: EV sales lag behind government target despite October uptick
The latest SMMT new registrations data saw registrations of new cars rise by 0.5% in the year to October to 144,948 units.
Battery electric vehicle (BEV) registrations increased by 23.6%, in line with growth trends this year. There were 36,830 BEV units in October, accounting for 25.4% of overall market share. However, the BEV market is still falling below the government’s 28% target set for 2025.
Sheena McGuinness, Co-head of Energy and Natural Resources at RSM UK, comments: “The latest SMMT data shows a continued uptick in new car registrations following a strong rebound in September, with battery electric vehicles (BEVs) exceeding plug-in hybrid electric vehicles (PHEVs). While EVs continue to dominate in absolute numbers, hybrids are seeing notable year-on-year market share growth. This suggests that consumers are still seeking a transitional option that balances sustainability with affordability. Plug-in hybrid electric vehicles (PHEVs) in particular remain popular due to their ability to alleviate range anxiety, while still qualifying for government tax incentives and meeting emissions regulations.
“Many businesses are also favouring PHEVs as part of their ESG strategies, with corporate fleet transitions playing a key role in this shift. Looking ahead, BEVs are expected to see a modest increase in market share in 2025. However, this slower pace of growth highlights the ongoing challenges around infrastructure. Despite progress, gaps in charging accessibility persist, and this continues to deter some consumers from making the switch.”
She added: “To meet the government’s Zero Emission Vehicle (ZEV) mandate and support wider EV adoption, further investment in fast-charging networks is essential. Despite fiscal constraints, there is a clear opportunity to unlock private capital through targeted incentives. A super deduction for investment in charging infrastructure would be a welcome move, helping to stimulate growth, create jobs, and accelerate the UK’s transition to net zero without placing additional strain on the public purse.”