UK van market slumps in November but EV demand grows

UK demand for new light commercial vehicles (LCVs) fell sharply in November, declining by more than a fifth as economic pressures and weakened business confidence continued to hinder fleet renewal. According to figures released today by the Society of Motor Manufacturers and Traders (SMMT), registrations dropped -22.2% year-on-year to 23,570 units.

The downturn extended a broader contraction across 2025 so far, with registrations for the first 11 months down -11.4% compared with the same period last year.

Every major LCV segment recorded losses in November, with large vans down -19.7% to 16,463 units – albeit still representing the majority (69.8%) of the overall market. Medium-sized vans fell by -20.5% to 3,976 units, while registrations of new 4x4s and small-sized vans also shrank, by -10.3% and -53.8% to 705 and 462 units respectively.

The pick-up sector posted another steep decline, with deliveries down -34.8% to 1,964, following recent fiscal changes that classify double-cab pick-ups as cars for benefit-in-kind and capital allowance purposes. Industry groups, including the SMMT, have renewed calls for the government to reverse the decision, warning it risks slowing fleet turnover, reducing tax revenues, and keeping older vehicles on the road.

In contrast to the wider market, battery electric vans (BEVs) saw a return to growth in November. Registrations rose 25.3% to 2,909 units, representing 12.3% of all LCVs registered, the highest monthly share of 2025.

BEV uptake for the year to date is up 44.7% with 27,159 units registered. However, electric vans still represent just 9.4% of the total market – well short of the government’s 16% Zero Emission Vehicle (ZEV) mandate for 2025, with the requirement set to rise to 24% next year.

Manufacturers have ramped up investment in electric technology, offering more than 40 BEV van models. But operators continue to face obstacles including higher purchase costs, long lead times for depot grid connections, and a shortage of public charging points suitable for vans.

Positive policy moves this year – such as the extension of the Plug-in Van Grant, the new Depot Charging Scheme, and proposed planning reforms for private chargers – have been welcomed, but the SMMT says progress must accelerate.

“With just one month of 2025 remaining, and the mandated target rising to 24% next year, urgent rollout of support is essential to protect the UK’s investment appeal,” the organisation said.

SMMT Chief Executive Mike Hawes added:

“Lacklustre light commercial vehicle uptake highlights weak economic confidence, and slower fleet renewal means slower decarbonisation.

“While it is encouraging that zero emission van uptake is rising, the pace of change severely lags government ambition, and every lever must be pulled to support demand and protect industry investment – both of which are essential to our shared net zero goals.”