The new car market soared 24 per cent in April after recovering from major tax changes last year, as the UK celebrates the registration of more than two million electric vehicles.
Fresh data shows that 149,247 new vehicles were registered in the UK last month, marking an impressive 24 per cent rise year-on-year.
This includes more than 39,000 battery electric vehicles, a massive 59 per cent jump compared to last year, helping EVs capture 26.2 per cent of the total market share.
The share of petrol and diesel vehicles continues to fall to 42.6 per cent and 4.2 per cent respectively, with just 6,314 new diesel cars being registered in April.
The Society of Motor Manufacturers and Traders (SMMT) noted that the rise in electric vehicles was down to tax changes introduced last year.
In 2025, drivers delayed buying electric cars to beat tax increases, including Vehicle Excise Duty and the Expensive Car Supplement.
While electric cars are now expected to pay Vehicle Excise Duty, many EVs now escape the ECS after Chancellor Rachel Reeves hiked the threshold from £40,000 to £50,000.
EV uptake has also been boosted by Labour’s Electric Car Grant, which allows drivers to save up to £3,750 off the price of a new EV with a market price of £37,000 or less.
There are more than two million electric vehicles registered across the UK
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PA/GETTY
The Department for Transport confirmed recently that more than 100,000 drivers had used the Electric Car Grant since it was unveiled in July last year.
New data also indicates that more than two million battery electric vehicles are now registered across the UK.
The SMMT states that the total new car registrations in 2026 are now expected to rise 3.6 per cent to 2.093 million, an increase compared to January’s estimate of 2.048 million.
Despite this, the projected market share of electric vehicles has fallen from 28.5 per cent to 26.8 per cent, with the SMMT citing an “underperforming first quarter”.
Diesel sales continued to fall in April
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GETTYThis would place the industry significantly below the Zero Emission Vehicle mandate target of 33 per cent by the end of the year.
The mandate requires manufacturers to have electric vehicles make up a certain percentage of sales, notably 80 per cent by 2030 and 100 per cent by 2035.
From 2030, only new electric vehicles and hybrids will be on sale, while petrol and diesel vehicle sales will be outlawed, unless they are second-hand.
Mike Hawes, chief executive of the SMMT, said: “April’s rebound is welcome, but underlines just how significantly fiscal changes can influence the market.
The Ford Puma Gen-E is one of several EVs in the £3,750 incentive level of the Electric Car Grant
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FORD“Two million electric car registrations is a considerable milestone to celebrate, although natural demand is still well below the level demanded by the mandate.”
Mr Hawes warned that the mounting cost of compliance with the ZEV mandate would limit consumer choice, decarbonisation efforts and the competitiveness of the sector.
He again called for a rapid review of ZEV mandate regulations, although the Government has insisted that a review will only take place at the start of 2027.
Without a review of the mandate, Mr Hawes suggested that Britain’s attractiveness as a vehicle market “will be put at risk”.