U.K. new-car sales rose 11.4% in June, driven by strong growth in electrified vehicles amid a wide choice of models and powertrains as well as an expanded pool of brands now operating in the U.K., an industry body said.

A total of 213,166 new cars were registered in June, compared with 191,316 in the same month last year, the Society of Motor Manufacturers and Traders said Monday.

Growth was registered across all sectors, with a 13% rise in demand from private buyers, an 11% increase in fleet deliveries and a 17% rise in the smaller business segment, SMMT said.

Battery electric vehicle registrations increased 35% in the month to take a 30% share of the market, while hybrid electric vehicle uptake rose 25% and plug-in hybrid demand also increased 25%.

SMMT said that despite more choice, government incentives and more than 12 billion pounds ($16.02 billion) in manufacturer discounts, EV uptake is still not rising fast enough, which is damaging profitability, diverting investment and weakening residual values.

Year-to-date, battery electric vehicles account for 25% of the market, still well below the 33% U.K. government-mandated target for 2026, SMMT said.

"Manufacturers are investing billions developing and bringing the vehicles to market - and spending billions more to sell them, yet the market is still not moving fast enough," SMMT Chief Executive Mike Hawes said.

"Reforming the mandate now is essential not just to keep the transition on track but to protect the U.K.'s competitiveness, attract investment and safeguard jobs," Hawes added.

Registrations of gasoline vehicles fell 4% in June to 84,541 units, while diesel registrations fell 24% to 8,099 units.

The U.K.'s top two best-selling cars in June were the Tesla Model Y and Tesla Model 3, according to the SMMT.

Write to Dominic Chopping at dominic.chopping@wsj.com

(END) Dow Jones Newswires

July 06, 2026 06:04 ET (10:04 GMT)

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