JUNE SEES SIGNIFICANT GROWTH FOR NEW CAR MARKET, HOWEVER NFDA REMAINS CONCERNED THE MACRO ENVIRONMENT REMAINS DIFFICULT FOR DEALERS

“The new car market in June has considerably grown, with a 6.7% increase in registrations.” said Sue Robinson, Chief Executive of the National Franchised Dealers Association (NFDA), which represents franchised car and commercial vehicle retailers in the UK commenting on the latest SMMT new car registration figures.

In June, a total of 191,316 new cars were registered, an increase of 6.7% from the same period last year. Sales to private buyers were up by 5.9%; fleet registrations were up by 8.5%.

Battery electric vehicles (BEVs) continue to experience growth, up 39.1% to 47,354 units. Plug-in hybrid (PHEVs) registrations also increased by 28.8% to 21,382 units and hybrids (HEVs) registered 23,835 units (-8.5%). In 2025, 224,841 new BEVs have been registered so far, compared to 167,096 units at the same point last year, representing a 34.6% change.

Diesel saw 10,716 units registered (0.2%) compared to 10,696 in June 2024 whereas petrol saw a drop from 91,874 units to 88,029 units (-4.2%).

Sue Robinson concluded: “Whilst NFDA is pleased to see the new vehicle market’s growth, we are concerned that the macro environment remains difficult for franchised dealers. The industry still faces several pressures such as weak economic growth, inflation above BoE’s target and effects from April’s policy changes. Electric vehicles will likely continue their increase however they remain below the stretching ZEV Mandate targets for 2025. We will also monitor whether the funding for EVs announced in the Chancellors Spending Review will contribute to further growth.”