UK new car market down in August but electric vehicles share up

The annual decline in new car registrations in the UK slowed in August, while the share of electric vehicles hit a record for 2025, data published by the Society of Motor Manufacturers & Traders showed Thursday.

The on-year decline in new car registrations slowed to 2.0% in August from 5.0% in July.

SMMT highlighted that August is typically the quietest month of the year, with 82,908 units registered this time.

Notably, battery electric vehicle registrations were up 15% on-year, reaching a market share of 26.5% in August, up from 22.6% a year ago, and compared to 21.3% in July.

August’s share of BEV registrations was the highest in 2025 so far, and the fourth-highest on record.

However, it was still below 2025’s nominal zero emission vehicle mandate target of 28%.

SMMT Chief Executive Mike Hawes said: ‘August was the best month yet this year for electric vehicle market share and, while it is often volatile due to low overall volumes, the overall trend is positive. September will be critical, with the new number plate factor typically driving around one in seven new car registrations for the year.

‘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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