UK, 4 July 2025: The UK's new car market recorded its best June since 2019, with registrations increasing by 6.7% year-on-year to reach 191,316 units, according to the latest figures from the Society of Motor Manufacturers and Traders (SMMT). This strong performance reflects a continued rebound in demand across the sector, bolstered by growing consumer interest in cleaner, more efficient vehicles.

Leading the charge were battery-electric vehicles (BEVs), which saw an impressive 39.1% growth to reach 47,354 units, securing a record 24.8% share of the market. One in every four new car buyers in June chose an electric vehicle, marking a significant milestone in the UK’s transition toward zero-emission transport.

In a sign of growing consumer interest in EVs, the Tesla Model Y ranked as the third-best-selling car in the UK for June with 4,181 units sold, followed by the Tesla Model 3 in sixth place with 3,538 units. While no EV has yet made the year-to-date top 10, the broader trend remains highly encouraging: BEV registrations for the first half of 2025 are up 34.6% year-on-year, reaching 224,841 units.

Industry leaders view this as a clear sign of commitment, but they also recognise that sustained growth will require government collaboration. A recent SMMT survey found that 55% of automotive CEOs believe the UK must accelerate its efforts to meet the 2030 deadline for phasing out the sale of new petrol and diesel cars. Barriers such as limited consumer incentives, insufficient charging infrastructure, and fiscal policies like the Expensive Car Supplement (ECS), expected to cost BEV buyers £360 million this year alone, continue to affect mass adoption.

In an official press release by SMMT, the Chief Executive of SMMT, Mike Hawes, praised the market’s recent performance, stating: “A second consecutive month of growth for the new car market is good news, as is the positive performance of EVs. That EV growth, however, is still being driven by substantial industry support with manufacturers using every channel and unsustainable discounting to drive activity, yet it remains below mandated levels. As we have seen in other countries, government incentives can supercharge the market transition, without which the climate change ambitions we all share will be under threat.”

To accelerate EV adoption, the SMMT is urging the government to implement specific financial incentives, namely, scrapping the Expensive Car Supplement (ECS) for battery-electric vehicles and temporarily reducing VAT on both EV purchases and public charging over the next three years. According to the organisation, these measures could add approximately 267,000 more electric vehicles to UK roads and play a crucial role in helping the country meet its climate targets.

The UK is making notable progress in its electric mobility transition, with EVs now accounting for one in four new cars. The strong growth in BEV registrations, increasing consumer acceptance, and industry investment show that the shift is well underway. With continued policy support, the UK has a clear opportunity to lead Europe in sustainable transport and hit its 2030 zero-emission targets, turning today’s momentum into tomorrow’s milestone.