December New Car Registrations Close 2025 on a Firmer Footing

“December’s new car registration figures show a modest uplift at the end of the year, with the market closing 2025 on a firmer footing,” 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 Society of Motor Manufacturers and Traders (SMMT) new car registration figures.

In December, a total of 146,249 new cars were registered, an increase of 3.9% compared with the same period last year. Registrations to private buyers rose by 16.0%, while fleet registrations declined slightly by 2.4% and business registrations increased by 15.3%.

Battery electric vehicles (BEVs) accounted for 47,139 registrations, representing an 8.0% increase year on year and taking a 32.2% share of the market. Plug-in hybrid vehicles (PHEVs) recorded 16,898 registrations, up 32.9%, while hybrid electric vehicles (HEVs) registered 18,430 units, a 3.0% increase.

Petrol registrations declined by 3.1% to 57,607 units, while diesel fell by 12.5% to 6,175 units, continuing the longer-term shift away from traditional powertrains.

Sue Robinson added: “While it is encouraging to see an improvement in December and steady growth over the year, the pace and cost of the transition continue to present challenges for retailers operating in a difficult economic environment.

“As we move into 2026, it will be vital that policy and fiscal measures provide stability and confidence for both consumers and the automotive retail sector to sustain investment and demand.”