UK new car registrations rose by 0.5% year-on-year in October.

The Society of Motor Manufacturers and Traders (SMMT) said this increase came despite a 1.5% decline in fleet registrations, with private registrations up by 2%.

Business registrations, classed as those to companies with fewer than 25 vehicles, rose by 32.7%, although these only represented 2.5% of the overall market.

In terms of fuel mix, EV registrations were up by 23.6% year-on-year, for a 25.4% market share, the second-highest seen this year – although the SMMT pointed out this was still behind the 28% required by the UK Government’s ZEV mandate.

Plug-in hybrids were up by 27.2%, taking 12.1% of the market, while conventional hybrids rose by 2.1% for a 13.3% market share.

Petrol car registrations fell by 11.6%, taking 44.4% of the market, while diesels were down by 22.9% for a 4.8% market share.

The SMMT said it had updated its projection for the year, and was expecting more than two million registrations for the first time since 2019.

However, it warned against government plans to end Employee Car Ownership Schemes (ECOS).

SMMT chief executive Mike Hawes said: “The government has backed the UK automotive sector with EV incentives and global trade deals, helping drive growth and encourage decarbonisation. 

“But scrapping ECOS would undermine that progress – penalising workers, reducing Exchequer income and putting green investment at risk. At a time when the Budget should fuel growth, the measure will do the exact opposite. It is time for a rethink.”

Reacting to the registration figures, Lex Autolease managing director Nick Williams said: “Momentum in the EV market continues to build, with more drivers recognising the financial and environmental benefits of making the switch. 

“October’s figures underline how far we’ve come, and with the government’s plans to make it simpler and cheaper for drivers to install chargers at home, going electric is easier than ever before. 

“To sustain this progress, the industry must keep pace by supporting all parts of the EV market and tackling lingering misconceptions about EV ownership.”

Novuna Vehicle Solutions managing director Jon Lawes said: “Cost and charging remain the biggest barriers to mass EV adoption. While progress is being made, the transition is still fragile. 

“The UK is not yet on track to deliver the 300,000 public chargers needed by 2030, with access still heavily concentrated in London and the South-East. For the millions without driveways, charging remains far from straightforward — removing planning barriers to cross-pavement charging is a practical, common-sense step that would make it as easy as parking on your street.

“Affordability is the other key hurdle. Extending grants to more models helps, but most buyers choose used cars, and that market is still overlooked. Without targeted incentives for used EVs and faster commercial charging, adoption across both cars and vans will continue to lag.”