Record demand for electric and hybrid vehicles
Fleet Alliance has reported that electric and hybrid vehicles accounted for 84% of all new vehicle orders in 2025.
This marks a new record for the fleet management and leasing operator, with the trend continuing into 2026 with electrified vehicles making up 85% of all orders year-to-date.
Meanwhile, the Tesla Model 3 was the most popular electric vehicle last year, followed by the Model Y, while the BYD Seal was included in the top 10 list for the first time.
The data also found that 67% of all new electric vehicles were contract hire orders.
Record orders
Fleet Alliance CEO Andy Bruce said: “We continue to see record orders of BEVs and PHEVs with the switch to electrification continuing to accelerate amongst our business customers.
“The electrification movement continues to gather pace helped by still-advantageous tax breaks, with a current rate of company car tax of just five per cent by 2027/8. That’s a huge financial incentive for would-be company car buyers as well as providing certainty about future tax levels.
“And there has undoubtedly been an uplift from the impact of the recently revised Electric Car Grant, which at a maximum of £3,750 for new, eligible battery electric vehicles priced at or below £37,000, is available to business as well as retail customers.”
He concluded: “Given the wide choice available, we believe there has never been a better a time for organisations to offer their staff the opportunity to take advantage of the benefits that exist on electric cars, be that through business contract hire or salary sacrifice.”
