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Global Perspectives & Leisure

UK Electric Vehicle Sales Surge to Record High as Grants and Discounts Drive Demand

UK electric vehicle sales hit record highs in September, driven by government grants, discounts, and expanding model options, boosting market confidence.

UK Electric Vehicle Sales Surge to Record High as Grants and Discounts Drive Demand
News Desk
Oct 4, 2025

Electric vehicle (EV) sales in the UK reached an all-time high in September, boosted by government incentives, discounts, and a wider range of models, according to the Society of Motor Manufacturers and Traders (SMMT).

Sales of battery electric vehicles (BEVs) climbed nearly 30% year-on-year to 72,779 units, while plug-in hybrid sales also recorded strong growth. Together, electric and hybrid models accounted for more than half of all new car registrations last month, a milestone for the UK’s transition away from fossil fuel vehicles.

The SMMT attributed the surge to carmakers offering aggressive price cuts, an expanding model lineup, and the rollout of the government’s electric car grant scheme, which provides eligible buyers with a £3,750 discount on vehicles priced under £37,000.

“Electrified vehicles are powering market growth after a sluggish summer,” said Mike Hawes, SMMT chief executive. “Industry investment in EVs is paying off, and the government grant is helping to break down one of the key barriers to adoption.”

Despite the strong performance, the majority of BEVs, around 71% were purchased by businesses and fleet operators. However, private demand is rising, with zero-emission vehicles now making up more than one in five new cars registered so far in 2025.

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The total number of new vehicle registrations hit 312,887 in September, marking the best monthly performance since 2020. The result underscores the sector’s resilience amid economic headwinds, including U.S. trade tariffs and production disruptions at Jaguar Land Rover following a major cyberattack.

The government said over 20,000 people have benefited from EV grants so far, with 36 models from brands such as Ford, Toyota, Vauxhall and Citroen eligible for discounts.

Among best-selling vehicles in September were the Kia Sportage, Ford Puma and Nissan Qashqai, while Chinese entrants like the BYD Seal U and Jaecoo 7 also ranked among the top 10, a sign of growing competition from overseas EV makers.

Ian Plummer, chief commercial officer at AutoTrader, said the scheme has had a measurable impact on demand. “Since July, enquiries for new electric vehicles are up nearly 50%, and for models eligible for the grant, interest has more than doubled,” he said.

The record month suggests Britain’s EV transition is gaining momentum, though industry leaders caution that continued policy support and charging infrastructure expansion will be essential to sustain growth.

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