By FREDA LEWIS-STEMPEL
The UK car market saw an early summer boost in June with new registrations rising to levels not seen since 2019.
The latest figures from the Society for Motor Manufacturers and Traders shows a 6.7 increase in registrations last month - the second consecutive month of growth, with a total of 191,316 new cars delivered.
Notably, the EV market celebrated one in four new cars being electric, with demand up 39.1 per cent for zero emission models.
But while it may appear confidence-inspiring news for the market's switch to battery vehicles, below the surface the figures tell a different story as private demand continues to wane.
The new data also shine some light on which brands have had a particularly strong start to the first half of the year - and which have not.
And the analysis shows that Chinese newcomers are already stealing a march on mainstream rivals as Britons continue to have their head turned by their more affordable pricing.
One in four new models bought in June was an electric car. Overall new car sales were up in June for the second month in a row, but private demand is low and EV sales are still below government targets
Despite growth in June, the new car market remains well below pre-Covid levels.
Registrations for the opening six months of the year are down 17.9 per cent on sales compared to pre-pandemic 2019.
And electric vehicles sales are still below mandated levels – tracking 6.4 per cent lower than what is required for the Government’s strict zero emissions targets.
Fleet is largely propping up EV sales, with private demand said to be ‘subdued’ as customers remain 'cautious' - but there's hope that there will be increased buyer confidence later in the year.
Total electrified vehicle registrations hit 48.5 per cent market share last month, with battery electric vehicle registrations rising strongly to 39.1 per cent. These 47,354 units are equivalent to a quarter of the market (24.8 per cent).
Looking at the first half of 2025, EV registrations have risen to 224,841 units – up 34.6 per cent. However, a market share of 21.6 per cent remains significantly below the 28 per cent threshold to meet the Government’s Zero Emission Vehicle (ZEV) mandate this year.
Mike Hawes, SMMT chief executive, called the new car market growth and EV sales ‘good news’ but warned that it was down to ‘substantial industry support’ and slashed model pricing.
He said: 'Manufacturers are using every channel and unsustainable discounting to drive activity, yet it remains below mandated levels.
'As we have seen in other countries, government incentives can supercharge the market transition, without which the climate change ambitions we all share will be under threat.’
Outside pure electric sales, plug-in hybrid sales grew 28.8 per cent while new petrol registrations declined 4.2 per cent and diesel sales remained flat, the latest data shows.
June saw car registrations increase 6.7% y-on-y as June marked the best month since 2019
BEV sales rose 34.6%, which is on the face of it an excellent result for zero emission uptake. However the overall percentage market share of 21.6% is well below the government's required 28%
Stuart Masson from Car Expert says that BYD and Omoda and Jaecoo now combined 'match the major brands like Audi in volume'
Which car manufacturers are winning and losing at the moment?
The trade body's car registration figures show which brands have enjoyed a successful start to 2025 - and reveal which manufacturers are experiencing struggles.
And it shows that Chinese brands are increasingly being accepted by car buyers in Britain.
Stuart Masson, editorial director of The Car Expert, said: 'The biggest story of the year so far is the rise of the Chinese brands.
'BYD is up about 570 per cent year-on-year, Omoda and Jaecoo have gone from zero to meaningful share within months, and combined the three matched major brands like Audi in volume.
'They’re offering well-specced EV and hybrids at competitive prices, and buyers are responding.
'Other Chinese newcomers, like Leapmotor and Skywell, have had slower starts, but the momentum is clearly building, especially in light of LEVC, Lotus, Polestar and Volvo owner, Geely, confirmed to enter the UK car market on their own later this year.'
Geely will launch its EX5 family SUV EV in the UK later this year. It joins the likes of Omoda/Jaecoo and BYD selling cheap Chinese cars in the UK that give buyers a lot of tech and luxury for low cost
However Masson points out that 'several familiar names are struggling' with Citroen down 41 per cent, Audi falling 18 per cent and Seat slipping 42 per cent. Nissan, Fiat and Honda have also posted 'double-digit declines'.
A few brands are looking up though Masson says, including Tesla and Ford - both of which have experienced some rocky terrain of late.
'Tesla has bounced back in June after a poor spring. Some are pointing to Elon Musk’s political exit as a factor, but any registration boost would have been in motion long before that news. More likely, it’s just Tesla being Tesla.'
'Ford is finally finding its feet, up slightly over 2024 - though that’s a low bar for them in reality. The good news is that it now has four EVs on sale, up from just one a year ago.'
The current marketing is creating 'sharply polarised' brand performance with Masson highlighting the growth of Alfa Romeo (50 per cent), Jeep (76 per cent), and Polestar (204 per cent).