Electric models spur 3.5% car sales growth in the UK
But a new tax on EVs risks sending "mixed signals" to consumers.
The UK new car market grew by 3.5% in 2025, largely driven by battery-electric and hybrid vehicles, while petrol and diesel car sales both dropped.
More than 2 million new cars were registered last year, the first time since the pandemic that this threshold was met – and low-carbon options such as hybrids, plug-in hybrids and battery-electric vehicles made up nearly half of the total.