FX.co ★ UK New Car Sales Surge 7.1% in May

UK new car registrations rose 7.1% year-on-year in May 2026 to 160,662 units, marking the strongest May performance since 2019, according to the Society of Motor Manufacturers and Traders (SMMT). Growth was driven primarily by private buyers, with registrations in this segment jumping 17.2% as consumers took advantage of competitive deals, a record breadth of brands, and a 6.4% increase in available models. This expanded choice included a 25.6% year-to-date rise in battery electric vehicle (BEV) sales.

Fleet demand increased more modestly, up 1.8% and accounting for 57.1% of all registrations. By contrast, the smaller business sector recorded an 18.8% decline, although the absolute drop in volume was limited to 720 units.

Consumer preferences continued to shift toward electrified powertrains. Registrations of petrol and diesel cars fell by 7.1% and 2.2%, respectively. Hybrid electric vehicle (HEV) uptake edged up 1.8%, while plug-in hybrid (PHEV) deliveries surged 23.9%, giving them a 13.8% share of the market. BEV registrations climbed 34.2%, securing a 27.3% market share—the highest monthly share recorded so far in 2026.