The UK new car market shrank by 6% in October, with 144,288 new registrations, according to the Society of Motor Manufacturers and Traders (SMMT).
This is the second time this year the market has seen a decline, impacting all buyer groups, including a significant drop of 11.8% in private purchases and a 12.8% decline in the business sector.
Sales of petrol and diesel vehicles saw steep double-digit declines, with petrol down by 14.2% and diesel by 20.5%.
Hybrid and plug-in hybrid vehicles also declined, by 1.6% and 3.2%, respectively.
However, battery electric vehicles (BEVs) bucked the trend, showing a 24.5% rise in registrations and capturing a 20.7% share of the market.
Yet, despite growing BEV sales, October’s market decline equates to a £350 million loss in turnover.
The increase in BEV market share, while notable, still lags behind the government’s ambitious emissions targets, with BEVs making up 18.1% of the market in 2024, short of the 22% target needed to meet the UK’s Vehicle Emissions Trading Scheme requirements.
Mike Hawes, SMMT Chief Executive, said: “Massive manufacturer investment in model choice and market support is helping make the UK the second largest EV market in Europe.
“That transition, however, must not perversely slow down the reduction of carbon emissions from road transport.
“Fleet renewal across the market remains the quickest way to decarbonise, so diminishing overall uptake is not good news for the economy, for investment or for the environment.
“EVs already work for many people and businesses, but to shift the entire market at the pace demanded requires significant intervention on incentives, infrastructure and regulation.”
