In August, UK new car registrations dropped by 2.0% to 82,908 units, with fleet uptake dominating at 59.1%. Battery electric vehicle (BEV) registrations rose by 14.9% to a market share of 26.5%, the highest this year. Plug-in hybrid vehicle (PHEV) uptake increased by 69.4%.

The UK new car market is up 2.1% in the first eight months of 2025. BEV share is at 21.9%, below the 2025 target of 28%. As September approaches, accelerating EV uptake remains crucial. A quarter of BEV models are now eligible for the Electric Car Grant, potentially boosting demand.

GlobalData expects the UK car market to reach around 1.99 million units in 2025, subject to risks. Analyst Jonathon Poskitt notes challenges ahead due to fiscal policy changes and US tariffs. However, the Electric Car Grant and manufacturer discounts are expected to drive EV sales in September.

SMMT Chief Executive Mike Hawes praises August’s record EV market share of 26.5%. September will be critical for new car registrations, typically accounting for one in seven for the year. The growing availability of electric models and government incentives make switching to electric vehicles more attractive for consumers.

Read more at Yahoo Finance: UK new car market down 2% in August