EVs help car registration growth to continue
UK new car registrations grew for the 21st consecutive month, rising by 1% to reach 134,274 units in April, according to the latest data published by the Society of Motor Manufacturers and Traders (SMMT).
Electrified vehicles (EVs) continued to be the main drivers of market expansion with plug-in Hybrids (PHEVs) recorded the strongest growth, rising by 22.1% to account for 7.8% of the market, followed by Hybrid Electric Vehicles (HEVs), up 16.7% with a 13.1% share of demand.
Compelling fiscal incentives for businesses helped battery-electric vehicles (BEV) uptake rose 10.7%, pushing up market share to 16.9%, a significant uplift on last April’s 15.4%.
Continuing the trend seen throughout the year, growth was driven entirely by fleets, where registrations rose by 18.5% to reach 81,207 units – more than six in 10 of all new cars registered in April.
Private buyer uptake fell by 17.7% to 50,458 units, while business registrations declined by 16.1%, to 2,609.
While the overall increase in BEV demand is positive, urgent action is needed to re-enthuse private buyers into switching, the SMMT said. Fewer than one in six new BEVs bought in April went to consumers, whose uptake volumes fell by 21.9%.
A lack of government incentives for private motorists remains a barrier that cannot be overcome by industry alone, it said. Given tax incentives are proven to deliver a rapid shift to BEVs in the fleet market, providing private buyers with a similar level of support would accelerate an overall market shift, fuel economic growth and deliver a sustainable, fair transition, according to the SMMT.
BEV volumes for this year have been revised downwards by 5.2%, with anticipated market share now 19.8%, below the government target of 22% per manufacturer under the Vehicle Emissions Trading Scheme.
Speaking about the figures, James Court, CEO of EVA England, said:
“Today’s latest EV sales figures for April highlight two trends. Firstly, EVs continue to steadily eat away at petrol and diesel’s share of cars on UK roads. But secondly, we are simply not seeing the rapid rise towards mass uptake that has been the hallmark of the last few years.
“EVA England are next week releasing their 2024 Manifesto, shaped by and for EV drivers, precisely calling for more Government support to help spur affordability and encourage more drivers into this exciting market, so that our immense progress so far continues to grow.”
Mike Hawes, SMMT Chief Executive, said:
“The new car market continues to grow even in the quieter months, driven primarily by fleet demand. This is particularly true of the electric vehicle sector, where the absence of government incentives for private buyers is having a marked effect. Although attractive deals on EVs are in place, manufacturers cannot fund the mass market transition single-handedly. Temporarily cutting VAT, treating EVs as fiscally mainstream not luxury vehicles, and taking steps to instil consumer confidence in the chargepoint network will drive the market growth on which Britain’s net zero ambition depends.”
