UK van market returns to growth as EV demand rises

The UK light commercial vehicle market returned to growth in April, with registrations rising 6.8% year on year, according to new figures from the Society of Motor Manufacturers and Traders.

A total of 21,716 new vans, pickups and 4x4s joined UK roads during the month, marking a rebound after a weaker March and offering a boost to the sector despite ongoing economic pressures.

Growth was largely fuelled by strong demand for large vans, with registrations jumping 28.5% to 15,561 units. This segment accounted for more than 70% of all new light commercial vehicles registered in April.

Performance across other segments was more mixed: medium-sized vans fell 20.0% to 3,476 units; small vans declined 14.4% to 489 units; and 4×4 registrations rose sharply by 81.6% to 1,024 units.

Pickups continued to struggle, however, with volumes down 57.4% to just 1,166 units. The sustained decline follows tax changes introduced last year, which reclassified double-cab pickups as cars for Benefit-in-Kind purposes, increasing costs for business users in sectors such as construction and agriculture.

Battery electric van uptake rebounded strongly in April, rising 44.7% to 2,439 units after a dip in March. Despite this growth, electric vehicles accounted for just 11.1% of the market, well below the 24% share required under upcoming zero-emission targets.

While more than half of available van models now offer an electric variant, barriers remain. Higher upfront costs, energy prices and limited charging infrastructure continue to slow adoption among fleet operators.

Year-to-date, electric vans hold a 9.4% market share, prompting renewed calls from the industry for greater support and a review of regulatory targets to better reflect market conditions.

Despite April’s improvement, the full-year outlook for 2026 has been revised slightly downward. Around 314,000 units are now expected to be registered, representing a marginal decline of 0.5% compared with last year.

Electric van volumes are forecast to grow by 25% over the year, reaching an 11.1% market share, still significantly below mandated levels.

Mike Hawes, Chief Executive of the SMMT, said the market’s return to growth was encouraging but warned that further action is needed to sustain momentum.

“April’s improved market is welcome news, despite a tough economic environment,” he said. “New LCV investment drives growth and decarbonisation, but must be sustained by investment in public and depot BEV infrastructure – and a reversal of BIK on double cabs – to build momentum for fleet renewal that cuts emissions and boosts business.”