The U.K.’s car market witnessed a bounce-back in April, with new registrations increasing 24% year-on-year compared to the same month in 2025.
According to data published May 5 by the nation’s automotive industry body, the Society of Motor Manufacturers and Traders (SMMT), the month recorded 149,247 new vehicle registrations.
Electric vehicle registrations saw a surge, accounting for 26.2% of the market share in April, but were still on track to miss the U.K. government’s Zero Emission Vehicle Mandate target for 2026, the SMMT said.
However, the SMMT admits results were influenced by an unusually weak April last year, when buyers pulled purchases forward to March to beat new-vehicle tax increases.
EV registrations recorded a 59.1% growth in April compared with last year, reaching a year-to-date new-car market share of 23.1% of the overall new-car market.
This remains significantly short of the 33% required by the U.K. government despite billions spent in manufacturer discounts and the introduction of the Electric Car Grant last year, SMMT said.
Meanwhile, demand for ICE vehicles rose 8.2%, while diesel registrations fell 1%. Electrified vehicles accounted for 53.2% of the market for the second month this year. Plug-in hybrid registrations rose 46.4% to take a 13.8% market share, while hybrid-electric vehicles increased 18.8%, securing 13.2% of all new registrations.
SMMT’s latest industry outlook, also published May 5, shows improving confidence in overall market volumes but also reflects weaker expectations for EV demand.
Total new-car registrations in 2026 are now expected to rise 3.6% to 2.093 million, up from January’s 2.048 million outlook, but EVs’ share has been downgraded to 26.8% from 28.5% following an underperforming first quarter.
Looking ahead, the 2027 market is anticipated to reach 2.12 million units, 32% of them EVs, leaving a persistent gap of around six percentage points against the mandate target for that year.
As a result of higher energy, production and charging costs, EV demand has not grown as fast as assumed when the regulation was formulated.
“April’s rebound is welcome but underlines just how significantly fiscal changes can influence the market,” said Mike Hawes, SMMT chief executive. “Two million electric car registrations is a considerable milestone to celebrate, although natural demand is still well below the level demanded by the mandate.”
“The mounting cost of compliance threatens to limit consumer choice, overall decarbonization and the sector’s competitiveness, so the need for a rapid review of the transition to align policy with market realities is unchanged, else Britain’s attractiveness as a vehicle market and manufacturing hub will be put at risk,” Hawes added.
Analyst response
While April’s figures are encouraging, the jury is out over whether the U.K. can sustain this growth, said Maria Bengtsson, EY UK & Ireland mobility leader, in an emailed assessment to WardsAuto.
Data showing that consumers are more willing to look at EV purchases because of rising fuel prices forced by the conflict in Iran show they are open to “cleaner and greener” transport solutions, she said.
“Despite these green shoots, heightened fuel prices, increased uncertainty and supply chain disruption may slow momentum in the coming months,” said Bengtsson. “Going forward, it will be crucial for automakers to prioritize resilience, scenario planning and agility as they look to keep market momentum against a turbulent backdrop.”