2025 (Full Year) Britain: New Car Market Overview and Analysis

In full-year 2025, the new car market in Britain expanded with sales up by 3.5% to just over 2 million new passenger vehicle registrations in the UK.

In full-year 2025, the new car market in Britain expanded with sales up by 3.5% to just over 2 million new passenger vehicle registrations in the UK.
© Rolls-Royce

2025 (January to December): new passenger vehicle registrations in Britain increased by 3.5% to 2,020,520 cars. This was the third consecutive year of growth and the first time that the British new car market exceeded two million vehicles since 2019, but sales remained well below pre-pandemic levels. Petrol remained the preferred fuel for new cars, while battery-electric car sales increased to a record 23% of the total British new car market in 2025.

In 2025, the new car market in Britain increased 3.5% to 2,020,520 newly registered passenger vehicles. Volkswagen was the top-selling brand in the UK for the fifth consecutive year. The Ford Puma was again the favorite car model of the British in 2025, and the Tesla Model Y remained the best-selling battery-electric car in the UK.

Latest British Car Sales Data: 2025: Market Overview, Brands, Models, Electric; 2024-2008.

New Car Market in Britain in 2025

In full-year 2025, the new car market in Britain expanded with sales up by %3.5 to just over 2 million new passenger vehicle registrations in the UK.

New passenger vehicle registrations in Britain increased by 3.5% to 2,020,520 cars in the full calendar year 2025. This was the third consecutive year of growth and the first time the UK’s new car market exceeded 2 million vehicles since the global pandemic.

According to the Society of Motor Manufacturers and Traders (SMMT), car sales in Britain in 2025 grew across all buyer types. Demand from private buyers recovered slightly from 2024, when uptake fell below levels last seen during 2020, with a 4.5% increase to 779,587 units, but still only comprising 38.6% of registrations. Fleet and business registrations also rose, up 2.6% to 1,194,545 and 8.8% to 46,388, respectively.  

British Car Sales by Year (2007 – 2025)

Annual new car sales graphic in Britain were as 2009 to 2025

New car sales in Britain in 2025 were at the highest level in six years and exceeded the two-million vehicle mark for the first time since 2019.

Annual new car sales in Britain were as follows since 2007:

YearUK Car Sales% Change
20252,020,5203.5
20241,952,7782.61
20231,903,05417.9
20221,614,063-2
20211,647,1811
20201,631,064-29.4
20192,311,140-2.4
20182,367,147-6.8
20172,540,617-5.65
20162,692,7862.25
20152,633,5036.3
20142,476,4359.4
20132,264,73711
20122,044,6095.3
20111,941,253-4.4
20102,030,8461.8
20091,994,999-6.4
20082,131,795-11
20072,404,007
19921,594,000
Source: SMMT

Car Sales in the UK in 2025 by Fuel Type

Car Sales in the UK in 2025 by Fuel Type

Petrol remained the most popular fuel source for new cars sold in Britain in 2025, but purely petrol cars fell to below 50% of the British new car market. Most hybrid vehicles, of course, also run predominantly on petrol.

The share of diesel new passenger cars in the UK slipped to only 5.1% in 2025.

Battery-electric car sales increased by 19.6% in Britain in 2025 for a record market share of 23.4%. However, BEV sales remained well below the mandate target of 28%.

Average new car CO2 fell 10.1% to 91.8 g/km (102.1g/km in 2024) for all new passenger vehicles registered in the UK in 2025.

In 2025, the new car market in Britain increased 3.5% to 2,020,520 newly registered passenger vehicles. Volkswagen was the top-selling brand in the UK for the fifth consecutive year. The Ford Puma was again the favorite car model of the British in 2025, and the Tesla Model Y remained the best-selling battery-electric car in the UK.

Latest British Car Sales Data: 2025: Market Overview, Brands, Models, Electric; 2024-2008.

About the author:

Henk Bekker

Henk Bekker is a freelance writer with over 20 years of experience in online writing. His best-selling cars website has been reporting car sales statistics since 2008 with classic car auction prices focusing on the most expensive automobiles sold at public auctions in the past decade. He also owns the travel websites European-Traveler.com, European Cultural Travel, and Lake Geneva Switzerland. Henk holds an MBA from Edinburgh Business School and an MSc in Finance from the University of London.