New data shows UK new car sales decline by 2% in August

In August 2025, new car sales in the UK experienced a noticeable decline of approximately 2%, according to the latest data from the Society of Motor Manufacturers and Traders (SMMT). This decrease marks an unexpected shift in the trend when compared to previous months, where the sector had witnessed gradual growth. The SMMT attributes this decline to several contributing factors, including supply chain disruptions and fluctuating consumer demand amidst economic uncertainties. Despite the overall dip, sales of electric vehicles remained robust, suggesting a continued shift towards sustainable automotive options in the UK market. The automotive industry faces challenges as it adapts to evolving consumer preferences and global economic pressures. Industry experts believe targeted incentives could help mitigate future downturns and stimulate the market. The data underscores the importance of strategic planning and investment to navigate these challenges effectively.

Reuters