- Electric vehicle registrations reach record high in March
- Fuel prices surge sharply following Middle East conflict
- EV demand rising, but still below government targets
Electric vehicle sales in the UK have hit a new high, with March turning into the strongest month on record for EV registrations as rising fuel prices begin to influence buyer behaviour.
According to data from the Society of Motor Manufacturers and Traders, electrified vehicles accounted for 196,059 registrations during the month. This includes battery electric, plug-in hybrid and hybrid models.
Battery electric vehicles alone saw registrations climb 24.2 per cent year-on-year to 86,120 units, marking a new peak. Plug-in hybrids recorded an even sharper rise of 46.9 per cent, while hybrid electric vehicles grew by 7.3 per cent.
Overall, the UK car market also showed signs of recovery, with total registrations rising 6.6 per cent to 380,627 vehicles. It is the strongest March performance since 2019, a period before pandemic-related disruptions.
Fuel shock meets consumer shift
The surge in EV demand is unfolding alongside a steep rise in fuel prices, linked to geopolitical tensions in the Middle East.
Data from the RAC shows average petrol prices have climbed to around £1.57 per litre, up roughly 18 per cent since the escalation of the Iran conflict at the end of February. Diesel prices have risen even more sharply, reaching close to £1.89 per litre, marking an increase of nearly a third over the same period.
Simon Williams from the RAC reportedly said petrol prices have risen by around 22p per litre since February 28, while diesel has seen even steeper increases, reflecting tighter supply conditions.
Industry observers suggest this is starting to change how consumers think about running costs. Ian Plummer of Autotrader reportedly said interest in EVs rose significantly between February and March, with inquiries on the platform increasing to the equivalent of one every minute.
He added that falling running costs and a wider range of models are making electric cars more appealing to buyers looking to manage expenses, as quoted in a news report.
Growth with gaps still to close
Despite the strong growth, electric vehicles still accounted for around 22 per cent of the total market in March. That remains below the government’s Zero Emission Vehicle mandate, which requires 33 per cent of new car sales to be fully electric in the coming years.
Mike Hawes, chief executive of the SMMT, reportedly said much of March’s performance likely reflects orders placed before the recent geopolitical tensions. He also warned that rising living costs could weigh on consumer confidence going forward.
Traditional fuel cars continue to dominate, even as their share declines. Petrol vehicles made up 43.6 per cent of the market, with nearly 166,000 units sold, though volumes were down 6 per cent compared with last year. Diesel sales fell more sharply, dropping 11.4 per cent to just over 18,500 units, leaving the fuel type with less than 5 per cent market share.
At the same time, new competition is emerging. Chinese-made models are beginning to make a mark in the UK market, with the Jaecoo 7 becoming the best-selling car in March, signalling a shift in the competitive landscape.
For now, the trend suggests a market in transition. Rising fuel costs are pushing more buyers to consider electric options, but the pace of change may still fall short of policy targets.
