New car registrations in Britain reached 94,236 in August, the strongest performance for that month since the twice-yearly number plate system began in 1999, according to industry figures released on Friday.
Registrations rose 13.7 per cent compared with August 2025, a notable jump given that August is traditionally one of the quietest months for dealerships, as buyers typically wait for the new September plate.
Electrified vehicles powered the market higher. Sales of fully electric cars surged 27.7 per cent to 28,063 units, meaning battery electric vehicles accounted for almost three in every ten new cars sold last month.
Plug-in hybrids recorded the strongest growth of any fuel type, with registrations up 39.8 per cent year-on-year. Much of that rise was driven by growing demand for Chinese-built models such as the Jaecoo 7, nicknamed the "Temu Range Rover", and the Omoda 5, which together now account for more than one in five of all new cars sold in Britain.
The jump in sales came in the same month the Government set out proposals to relax electric vehicle sales targets between 2027 and 2030, following lobbying from the industry's trade body.
EV sales targets under review
Battery electric vehicles claimed a 29.8 per cent share of the market in August, the second-highest monthly figure recorded so far this year. That was still short of the 33 per cent target set for 2026 under the Zero Emission Vehicle mandate.
Manufacturers have repeatedly missed the mandate's annual targets since it was introduced in 2024, and face financial penalties as a result. That has prompted sustained calls from the Society of Motor Manufacturers and Traders (SMMT) for the scheme to be watered down. The trade body argues that existing demand for electric cars is being propped up by "unsustainable" discounting that is costing manufacturers billions of pounds a year.
The Department for Transport responded last month by opening a consultation on relaxing the targets between next year and the end of the decade, a change that could see the required share of electric vehicle sales fall from 80 per cent to 50 per cent by 2030. That is despite flexibilities within the policy, including carbon-reduction credits, likely allowing all mainstream car brands to comply with the rules this year, as they did in 2024 and 2025.
Ginny Buckley, founder of the EV website Electrifying.com, said the August figures showed why ministers should stop "constantly moving the goalposts" on electric vehicle sales targets.
"The market is heading in the right direction, and manufacturers are building up a significant surplus of credits," she said. "Of course, not all car makers are equal when it comes to EVs. Some have embraced the transition far more successfully than others, but we can't let those lagging behind hold the whole market back."
Mike Hawes of the SMMT said the Government's review was the "right move" to keep the transition to electric vehicles on track while protecting jobs and future investment in Britain's car industry.
Chinese brands gain ground
Plug-in hybrids, often seen as a stepping stone between conventional combustion-engined cars and full electric vehicles, now account for around one in seven new cars sold in Britain, a boom driven largely by an influx of new Chinese models. Four of the ten best-selling cars in August were Chinese brands.
The Jaecoo 7 was the month's second most popular model with 2,022 registrations, behind only the Ford Puma on 2,795 sales. The MG HS ranked third with 1,785 registrations, followed by the Jaecoo 5 on 1,670. The Omoda 5 SUV was sixth overall with 1,465 deliveries.
In total, Britons bought almost 20,000 Chinese-brand vehicles last month, giving Chinese manufacturers a record 21 per cent share of the UK new car market as they continue to expand their presence.
Legacy brands lose ground
Established manufacturers fared worse as competition intensified. Seat, Hyundai and Peugeot all posted declines of between 25 and 41 per cent compared with August last year. Even Britain's best-selling brands took a hit, with Ford registrations down 8 per cent, BMW and Audi both down 5 per cent, and Volkswagen down 4 per cent on August 2025 sales.
Hybrids, diesel and petrol
Conventional hybrid vehicles also had a strong August, with registrations rising 26.3 per cent to 11,940 units. Diesel sales edged up 4 per cent to 4,478 vehicles, though they remain a fraction of their former market share.
Petrol was the only fuel type to record a decline, with registrations down 3.5 per cent year-on-year. Even so, with 36,048 sales, it remained Britain's most popular choice of powertrain last month.
