New Car Registrations Rise For Second Successive Year

The number of new cars registered in the UK has risen for the second successive year according to information released by the Society of Motor Manufacturers and Traders.

In total, 1,952,778 new cars were registered across the year compared to 1,903,054 in 2023 for a yearly increase of 2.6%, driven mainly by strong growth across the fleet sector.

Although private sales were down on 2023, they still accounted for just under 40% of the market.

With mandated targets for zero emission vehicles in place, battery electric vehicles was the biggest growth area with an increase of 21.4%, with more plug-in and standard hybrid cars also being sold.

However, fully-electric cars only make up 19.6% of the market share, with traditional petrol cars still accounting for more than 50% of new registrations across the year.

Petrol cars continue to be most popular with private buyers despite manufacturer discounting in a bid to hit EV targets, with businesses and fleets being the ones going fully-electric as they seek to capitalise on the tax incentives for battery vehicles.

Whilst there are now more EV models available than ever before, talks remain ongoing about the existing mandates given the current levels of demand for electric vehicles in the UK.

“A record year for EV registrations underscores vehicle manufacturers’ unswerving commitment to a decarbonised new car market, with more choice, better range and increased affordability than ever before,” Mike Hawes, SMMT Chief Executive, said.

“This has come at huge cost, however, with the billions invested in new models being supplemented by generous incentives which are unsustainable. We need rapid results from the regulatory review and urgent substantive support for consumers – else automotive investments will be at risk and the jobs, economic growth and net zero ambitions we all share in jeopardy.”