The UK new car market grew by 7.2% in February 2026, reaching 90,100 registrations. According to the latest data from the Society of Motor Manufacturers and Traders (SMMT), this represents the highest February volume in 22 years.
Growth was primarily driven by the private retail sector, which rose 17.6% to 35,227 units. Fleet registrations remained the largest market segment at 59.4%, despite a modest 1.8% increase. Plug-in hybrids (PHEVs) saw the most significant growth, up 43.5%, while petrol remains the most popular powertrain with a 46.5% market share.
Battery electric vehicle (BEV) volumes rose by 2.8% to 21,840 units. However, BEV market share fell to 24.2%, down from 25.3% in the same period last year. With the year-to-date share at 22.0%, the industry remains below the 33% mandate required for 2026.
Mike Hawes, SMMT Chief Executive, stated:
“The UK’s new car market is continuing to recover and EV volumes are growing too, even if market share remains disappointing. All eyes are now on ‘new plate’ March, which typically sets the tone for the year – and given sales of new pure petrol and diesel cars are currently required to end in less than four years, EV uptake must accelerate rapidly.”
The SMMT is calling for an urgent review of the transition, noting that buyer confidence may be impacted by plans to introduce a “pay per mile” tax for EVs from 2028. Manufacturers continue to offer significant discounts to drive demand, but the SMMT warns that “such costs cannot be sustained indefinitely.”
