Petrol and diesel sales both dropped in June while EV sales were up 35% to take nearly a third of the market. But the car industry’s representative body, the SMMT, is complaining that the government’s requirement for carmakers to sell a certain number of EVs is causing problems and threatening jobs. 

But what’s really going on behind the numbers and who’s really in danger of missing their ZEV mandate targets for 2026? We’ve taken a closer look at June’s new car market performance thanks to numbers from research organisation New Automotive.

It was a good month for Tesla, with a fifth of all the electric cars sold in June coming from the Texan carmaker. 

This big number was down to pent up demand, because Tesla deliveries had to be put on hold for a month because certain Model Ys weren’t the approved specification. Once this issue had been cleared up it meant that the backlog of orders could be cleared. 

June’s performance takes Tesla clear of BYD – Tesla has a 10% share of the UK’s EV sales in 2026 so far, while BYD has a 6% share. 

Peugeot, BYD and BMW have sold a smaller percentage of EVs among their overall sales, which can largely be accounted for by a rise in plug-in hybrid powertrains among the mix, though Peugeot’s EV sales proportions were already at the lower end of the market. 

The SMMT has complained that the 33% ZEV mandate target for carmakers is too high and is calling for its to be watered down, but by New Automotive’s calculations the figure that manufacturers actually have to meet is just under 25% once you factor in all of the credits and allowances for PHEV and hybrid sales. 

Renault is well past its target already thanks to the popularity of the retro 5 (above) and 4 models, and the likes of BMW, Ford and Volkswagen are very close to meeting their real world targets. 

Subaru, Mazda, Nissan and Jaguar Land Rover are massively behind their ZEV mandate commitments and will face big fines unless they can borrow someone else’s surplus credits or get a few extra EVs sold before the end of the year. 

Honda, Suzuki, Toyota and the Stellantis brands will also have to panic a little before the end of the year. It’s no surprise that the SMMT is so strongly against the ZEV mandate when you think that struggling brands like Nissan, JLR, Toyota and Stellantis all have significant manufacturing bases in the UK. 

The likes of Tesla, BYD and MG will all be able to lend a hand for the right price, though, with plenty of credits in hand thanks to their EV sales mixes.