FX.co ★ UK Car Output Rises Sharply in September

UK car production surged 38.6% year-on-year in September 2026 to 70,831 units, the strongest September performance since 2023 and a sharp acceleration from the 6.1% rise recorded in August. The jump largely reflects a rebound from the cyberattack-disrupted output a year earlier. Total vehicle production climbed 36.3% to 74,031 units, the fastest growth since August 2022.

The EU remained the UK’s largest export market, taking 57.5% of car exports. Shipments to the bloc rose 12.7%, while exports to the US soared 234.8% and those to China surged 357.7%, although both increases were from a low base.

Despite the strong September figures, combined car and commercial vehicle production in the first nine months of 2026 was down 3% year-on-year, at 564,537 units. The Society of Motor Manufacturers and Traders (SMMT) cautioned that the EU’s proposed “Made in Europe” industrial rules, together with tighter post-Brexit rules of origin, pose risks to the sector. At the same time, the UK’s electric-vehicle sales mandate is adding further pressure on manufacturers.

UK light vehicle output is forecast to decline 2.3% in 2026 to 731,000 units, before recovering to 752,000 units in 2027.