UK new car sales rise 5.4% in October, SMMT data shows

Nov 5 (Reuters) - Britain's new car market registrations in October rose 5.4% to 152,730, with battery electric vehicles (BEV) reaching a record 32% share as automakers intensified discounting, data from the Society of Motor Manufacturers and Traders showed on Thursday.

More than half a million BEVs have been registered so far in 2026, up 30.4% year-on-year, the SMMT said, as rising fuel costs driven by global oil shocks from the Iran war are steering customers away from combustion vehicles.

However, year-to-date BEV share stood at just 26.6%, well below the 33% mandated for 2026.

The SMMT called for "substantive changes" to ZEV (zero-emission vehicle) Mandate targets, revising them down to better reflect demand, warning that lower trade-in values will leave owners less able to afford their next car.

Manufacturers are spending billions on discounts, zero-percent finance, deposit contributions and subsidised charging to boost sales beyond underlying demand, the SMMT said.

Data from New Automotive showed on Wednesday that UK new car registrations rose 26.9% in October. SMMT and New Automotive use different data sources and calculation methods.

(Reporting by Nithyashree R B in Bengaluru; Editing by Mrigank Dhaniwala and Maju Samuel)