- The UK’s Society of Motor Manufacturers and Traders have released the UK’s July car sales figures.
- The results showed that 18.5% of cars registered last month were fully electric models – which equated to a year-on-year increase of 18.8%.
- However, with current UK regulations mandating 22% of cars sold by each manufacturer to be fully electric by the end of 2024, SMMT have called for the pace of transition to be increased ‘significantly’.
EV sales rise year-on-year, but is it enough to hit targets?
For the year-to-date, fully-electric models have accounted for 16.8% of total car sales, but this has been mandated to rise to 22% for each individual manufacturer by the end of 2024. This rises to 28% in 2025, 33% in 2026, and so forth, ahead of the current 2035 deadline. However, the SMMT has warned that the 22% target is unlikely to be achieved, blaming, among other things, the current high interest rate – and it welcomed further cuts to interest to induce car finance, particularly for electric vehicles.
With the current Labour government promising in its manifesto to push forward the ZEV mandate from 2035 to 2030, targets for future years could be narrowed further. Whilst some manufacturers will struggle to meet these targets unless changes are made both on the government and manufacturer sides, brands such as Volvo are less likely to have trouble – where 36.3% of cars sold last month in Europe were already fully electric – and that’s before we get to pure electric brands.
Mike Hawes, Chief Executive at the SMMT, commented:
“Two years of new car market growth against a backdrop of a turbulent economy is testament to the sector’s resilience and the attractiveness of the deals on offer. Weakening private retail demand, however, particularly for EVs and despite generous manufacturer discounts, is the over-riding concern. More people than ever are buying and driving EVs but we still need the pace of change to quicken, else the UK’s climate change ambitions are threatened and manufacturers’ ability to hit regulated EV targets are at risk. Achieving market transition at the pace demanded requires greater support for consumers and, with the all-important new numberplate month of September beckoning, action on incentives and infrastructure is needed now.”
