New car registrations have seen a return to growth in the key number plate-change month of September with battery electric cars one of the most significant sectors powering the increase. The month has also seen the one millionth plug-in car delivered in the UK. 

However, although there was growth it is not as rapid as in previous months, suggesting there may be a slowing in demand. Purely-electric new car sales in the first 72-reg month were up 16.5% compared to September 2021. This was ahead of the overall market which was up 4.6% for the month. However, against pre-pandemic September 2019, the overall market was down 34.4%. For the year-to-date, the impact of electric vehicle sales growth is even more stark. Against petrol (including hybrids), diesel and plug-in hybrids, electric cars are the only sector of the market in positive territory.

In the first nine months of 2022, electric cars are up just over 40% compared to the same period last year. The overall market is currently running down 8.2% with 1.21 million new cars registered. However, September’s electric car growth is lower than previous months. Car dealers that Electrifying.com spoke to warned against taking one month as a sign of change as new car supply was still extremely sporadic, with some brands and model lines having better months than others.

Data: SMMT

They added that order times were coming down, although it is unclear if this is due to better production levels or reduced demand due to the cost of living crisis. 

Ginny Buckley, Electrifying.com’s founder and CEO, said: “While hitting the one million 'cars with a plug' milestone is cause to celebrate, I’m concerned that the year-on-year registration figures for electric cars in September are significantly lower than they were in March; the other key month for number plate changes.

“Affordability is clearly an issue and with just seven models available for under £30,000, this is a sign that Britain’s electric car buyers are struggling to get behind the wheel. This, together with the withdrawal of the government grant, cost of living crisis and hike in energy prices is clearly leading to a slow-down in demand for electric cars.

“If we are to reach our net zero ambitions, both the government and industry need to keep a close eye on this decline in growth. Without action we risk stalling the electric revolution.”

There are still some bright spots however. Brand-by-brand performance this year illustrates that those brands with supply of good electric cars have performed the best. MG, which now has three fully electric models including the recently released MG4, continues to top the growth in vehicle numbers by selling 15,361 more cars this year than last. Hyundai is the second fastest growing brand up more than 11,000 cars, Tesla is third up more than 10,000 and Kia is fourth with more than 9,000 more cars registered so far this year than last.

MG and Kia had big growth in September

Tesla’s Model Y also took second place in the September best sellers’ chart, the only all-electric model to place in the top 10. However, the Kia Niro, which is offered in battery electric form as well as plug-in hybrid and regular hybrid also featured in eighth place.

In the overall sales charts for the first nine months of 2022, Ford takes top place with a market share of 7.84%, Volkswagen is second with 7.63% and Kia is in third with a 6.88% share.Mike Hawes, SMMT chief executive, added: “Battery electric vehicles make up but a small fraction of cars on the road, so we need to ensure every lever is pulled to encourage motorists to make the shift if our green goals are to be met.

“The overall market remains weak, however, as supply chain issues continue to constrain model availability. Whilst the industry is working hard to address these issues, the long-term recovery of the market also depends on robust consumer confidence and economic stability.”

The Model Y was the second best selling car for the month overall