New cars sales rise for 11 straight months
New cars sales rose for the 11th month in a row in October, with electric vehicle registrations driving growth.
New figures from the Society of Motor Manufacturers and Traders revealed that the new car market rose 5.4% to 152,730 registrations, with fleet registrations up 5.4% to 89,985 units, private demand increasing 4.1% to 58,229 units, and business registrations climbing 24.5% to 4,516 units.
In terms of fuel types, plug in hybrid registrations rose 30.1% to a 15% market share and electric sales increased by 32.7% to secure a 32% share of the market, although hybrid sales dipped five per cent. Combined, electrified cars accounted for 59% of all new registrations in the month while year-to-date sales are up 30.4% year-on-year to 503,805 units.
The SMMT now expects electric vehicles to make up 27.2% of new car sales this year against the 33% ZEV Mandate. Sales are expected to rise to 32% and 37.5% in 2027 and 2028 respectively, against targets of 38% and 52%.
Mike Hawes, SMMT chief executive, said: “Almost one in three new cars registered in October was electric – great progress in the transition, but one that comes at enormous cost.
“The industry and government are spending billions to help drivers switch, but that support cannot be sustained indefinitely with the gap to mandated targets set to more than double by 2028, just as a new EV-only tax is introduced.
“Higher targets may force supply, but they do not create demand. The ZEV Mandate review must deliver substantive reform effective immediately to ensure we have a healthy market and an attractive pitch to investors.”
