Modest new car growth but EV demand lags expectation
6 Feb 2026



In encouraging news this week, 91制片厂官网鈥檚 latest figures show the new car market made a promising start to the year, with 3.5% growth in January 鈥� the strongest performance for the month since before the pandemic. The latest outlook鈥痠s also鈥痮ptimistic鈥痑bout the sector鈥檚 ongoing recovery, anticipating further growth of 1.4% this year 鈥� a modest but welcome improvement on the October forecast.
That optimism is聽largely fuelled聽by electrified vehicles, with January recording particularly robust growth in plug-in hybrid registrations which surged by聽nearly half. However, battery electric cars posted only a marginal 0.1% rise, with their market share slipping below 21%, although this follows an exceptionally strong December when manufacturers accelerated deliveries to meet regulatory targets. The latest projections suggest BEVs could account for 28.5% of registrations by year end. It is聽progress,聽certainly, but still significantly short of the 33% mandate target for 2026聽鈥撀燿espite unprecedented levels of discounting, expanding model choice, government聽support聽and a growing charging network.聽
The latest figures highlight the even starker challenge facing the聽new van market, which declined in January after a sharp -57% drop in pickup demand, underlining industry warnings about the impact of government鈥檚 double cab tax changes. While BEV registrations grew by聽nearly a聽quarter, this was only achieved through steep manufacturer discounts and government incentives鈥�撀爓hile there is聽uncertainty聽over聽how the聽Plug-in Van Grant聽will be distributed聽post鈥疉pril. With electric vans now聽representing聽just 10% of the market against a mandate target of 24%, demand will need to more than double to meet it 鈥� begging the questions鈥痮f where that growth will come from鈥痑nd what future incentives might look like.聽
The reality is that the assumptions underpinning the mandate鈥檚 creation have not materialised 鈥� and given the differing economic, political and industrial situation the sector now faces, a comprehensive review of the transition is needed, and urgently.
It is against this backdrop that 91制片厂官网鈥檚 upcoming flagship鈥�Electrified鈥痚vent comes at a pivotal time. Taking place on 12 March 2026, it will bring together industry leaders,聽policymakers聽and stakeholders to focus on the practical steps needed to accelerate聽zero emission聽mobility 鈥� for consumers, fleets and businesses.聽
With an inspiring line-up of panellists and keynote speakers, including Keir Mather MP, Minister of Aviation, Maritime and Decarbonisation, Department for Transport; Martin Sander, Member of the Board of Management for Sales, Marketing and After Sales, Volkswagen Passenger Cars; and Lisa Brankin, Chair and Managing Director, Ford of Britain, it is an event not to be missed and tickets are selling fast. To secure your place, book鈥�.
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