With the government's launch of the electric car grant this summer, we take a closer look at how it has influenced the uptake of electric vehicles. We also explore trends in the used vehicle market, the growing shift to automatic vehicles becoming the norm, and concerns around tyre safety - as nearly half of UK vehicles have been found with illegal tyres. This will be an important point to consider as we approach the winter months.
The rise in automatic tests is driven by a combination of technological innovation and government policy. Electric vehicles which are predominantly automatic, are becoming increasingly common on UK roads. As more drivers make the switch to EVs, many learners are choosing to train in vehicles that reflect the future of driving – automatic vehicles.
The latest data from the Driver and Vehicle Standards Agency (DVSA) shows a consistent increase in automatic tests conducted.
If this current growth continues, the AA Driving School expects automatic driving tests could reach 32% for the 2026/2027 year, accelerating toward a tipping point where manual tests are no longer the norm, and automatic tests will take the lead.
In August, battery electric vehicles (BEVs) saw a 14.9% increase in registrations, which is thought to have been accelerated by the Government’s new electric car grant and heavy discounting from manufacturers.
The Society of Motor Manufacturers and Traders (SMMT (Opens in new window)) shows that BEVs took a market share of 26.5%, which is highest this year and the fourth highest on record.
However, the growth of BEVs were outpaced by Plug-in hybrid vehicles (PHEVs), which rose by 69.4% in registration, taking an 11.8% market share. Hybrid electric vehicle registration account for 11.4% of the market.
The new electric car grant, launched in July, is thought to have had a very positive impact on the fuelled interest in and registrations of BEVs. So far this year, 276,635 BEVs have been registered to account for a market share of 21.6%, however this is still significantly behind the 28% market share required by the zero-emission vehicle (ZEV) mandate.
However, with more models being added to the Government’s electric car grant, this will continue to encourage drivers to make the switch to electric vehicles.
Forecasts within the commercial vehicle market project that the market may reach over 320,000 new van registrations by the end of 2025, representing a year-on-year decline of 11.3%.
However, for used vans, the outlook is significantly more positive. Transactions forecast to almost one million units, while this represents a 0.9% decline compared to 2024, it is 11.9% above 2019 levels.
This shows a substantial shift between the two markets since 2020, as buyers are opting for affordably priced used vans over newer expensive models. This is supported from an article in our August 2025 Fleet News Round Up (Opens in new window) ,where it states that used vehicles are being adopted by more than half of UK fleets.
While the used market is performing well, it still faces challenges, as higher mileage vehicles could present a challenge for valuations due to extended fleet replacement cycles and greater variation in conditions.
Additionally the forecast residual values (RVs) in the used van market have been revised down by an average of 1.5% compared with the previous month, reflecting typical seasonal trends and economic uncertainty.
Moreover, when it comes to electric vans, they now account for 8.8% of the new van market, however this only halfway to the target set by the ZEV mandate (16%). In the used market, electric van values are expected to remain unstable due to limited data, buyer hesitancy and cost barriers compared to diesel and petrol models counterparts. Pricing for electric vans will need to be more competitive in order for the used electric van market to reach maturity.
Two in every five vehicles on UK roads pose a serious safety risk to other road users, as 40% of vehicles are on the road with illegal tyres or dangerously close to the limit.
A study conducted by the National Tyres Distributors Association (NTDA), found 1 in 12 vehicles were fitted with illegal tyres below the 1.6mm legal minimum thread depth.
Another report (Opens in new window) also found that 32% of vehicles had ‘barely legal' tyres - tyres which are technically compliant but offer significantly reduced grip and safety margins, especially in wet conditions.
The NTDA warns this trend shows motorists are delaying replacement until the last possible moment, putting themselves and others at serious risk.
The report also uncovered regional disparities:
The NTDA is calling for urgent action, including raising the legal minimum tread depth from 1.6mm to 2.0mm, targeted interventions in high-risk hotspots and greater financial support for motorists struggling with replacement costs.
Stopping distances double in wet conditions on tyres worn below 2mm, while fines of up to £2,500 per tyre and three penalty points are faced by those caught driving illegally.
See our factsheet on how to get the most out of your tyres.download (pdf(download (pdf(
Research from Geotab shows the EV adoption rates across public sector vary significantly.
Bristol leads the way, with EVs – both pure and hybrid – making up almost half (44.5%) of its fleet, followed closely by Liverpool with 43.3%.
Leeds was ranked third with more than a quarter (27.8%) of its vehicles electrified, followed by Manchester (26.8%) and Glasgow (25.8%).
TfL data revealed just 3.2% of its fleet of HGVs and vans were electric.
Geotab’s analysis highlighted that no city councils reported any use of fuel-cell electric vehicles in their fleets, while plug-in hybrid electric vehicles made up less than 1% of all city fleets.
Liverpool reported the highest uptake of hybrid-electric vehicles (29.5%), followed by Bristol (20%).
While some cities are keeping up with the electrification rollout, others are moving more slowly, despite the UK’s 2030 ban on new petrol and diesel vans creeping up within the next 5 years. With the disproportionate speeds in EV adoptions varying across cities, there is a risk of creating an electrification divide, leading to implications for climate targets, air quality and public service delivery, which can form a significant gap in operation and financial efficiency.
Electrifying fleets at scale is a huge challenge, especially for city councils as they will need to ensure they have the necessary charging infrastructure in place to support the vehicles in their cities.
With 2022 being a turbulent year for the fleet industry, it is predicted that many of the challenges are likely to persist in 2023, adding further uncertainty to the market.
The automotive industry is currently under great pressure and this is having a significant impact on the supply and delivery of vehicles.
KINTO UK is proud to have been awarded the 'Showing Care' Award at Severn Trent Water's annual supplier awards last week. In 2023, KINTO UK became a trusted partner of Severn Trent Water after being a awarded the contract to deliver 289 new electric vans to them and ensured all sustainability efforts were maximised in this delivery.
Fleet industry news round up for february 2025
In this month's roundup, we dive into the newly unveiled 2025 spring budget and explore its implications, alongside other key stories shaping the fleet industry. From the unexpected drop in fuel prices to growing concerns around EV battery longevity and the latest changes to VAT. Don’t miss our insights and their potential impact on the future of fleet operations.
Catch up with July’s major fleet updates - from draft HMRC ECO scheme changes to £650 million in new EV grants. Read now.