Projected Electric Vehicle Sales in the UK for 2025 and 2026 with Battery Electric Vehicles (BEVs) Projected to Hold a 28% Market Share

The UK automobile market is set for a significant transformation in 2026, with a surge in the adoption of electric vehicles (EVs) and a concurrent decline in diesel and petrol cars. According to recent forecasts, the market is expected to surpass two million units for the first time since 2019.

The UK government's commitment to achieving net-zero emissions has propelled the growth of EVs. This commitment has led to the proposal of the Zero Emission Vehicle (ZEV) Mandate, currently under consultation, which will require a significant percentage of new car sales to be zero-emission vehicles from 2024 onwards.

Two main types of EVs are gaining traction: Battery Electric Vehicles (BEVs) and Plug-in Hybrid Electric Vehicles (PHEVs). By 2026, BEVs are expected to account for 28.3% of all new registrations, with 570,000 units, and PHEVs will hold a 10.8% market share, equating to 218,000 units.

The growth in BEV sales is attributed to several factors. Expanding charging infrastructure, declining battery costs, consumer incentives, and improved model availability have all contributed to this trend. PHEV growth, on the other hand, is driven by consumer preference for flexibility, corporate fleet demand, and government policies.

Despite the promising growth, policymakers need to ensure that subsidies remain available, particularly for lower-income buyers, to ensure equitable access to EVs. Continued investment in fast-charging networks is crucial to eliminate range concerns for EV adoption.

Automakers must also continue educational campaigns to address concerns about battery life, charging times, and vehicle range for EVs. The lack of specific information about which companies have made the largest investments in expanding charging stations for BEVs and PHEVs in rural areas of the UK is a gap that needs to be addressed.

As the diesel market share in the UK car market drops to 4.4% in 2026, petrol market share will also decrease, dropping to 41.1%. This shift towards electrified vehicles indicates a seismic shift in the UK automobile industry, signalling a more sustainable and environmentally friendly future.

By 2026, nearly 40% of all new vehicles sold in the UK will be electrified, marking a significant milestone in the UK's journey towards net-zero emissions. The forecasted growth in PHEV and BEV registrations in 2025 and 2026 underscores the potential for a future where electric vehicles are the norm, rather than the exception.