Electric car sales hit record high as fuel prices soar

Electric vehicle registrations soared to record levels in March, as rising petrol and diesel prices drove motorists toward greener alternatives.

According to the Society of Motor Manufacturers and Traders (SMMT), 196,059 electrified vehicles were registered last month, marking the best month ever for the sector.

Battery electric cars led the charge, with 86,120 new registrations—a 24.2% rise on March last year. Plug-in hybrids jumped 46.9%, while hybrid electric vehicles grew by 7.3%.

The surge comes amid escalating oil and gas prices following the conflict in the Middle East, which pushed average petrol to 157p per litre and diesel to 189p, according to the RAC.

Overall, the UK new car market grew 6.6% in March, the strongest month since 2019, with 380,627 new vehicles registered.

SMMT chief executive Mike Hawes warned that while much of the growth was driven by pre-war orders, rising costs could dampen consumer confidence in the coming months.

Hawes said “much of March’s performance will be from orders placed before the start of the Iran conflict.”

He then cautioned the Iran war “threatens to raise the cost of living, undermining consumer confidence”.

Autotrader’s chief customer officer, Ian Plummer, confirmed a marked increase in enquiries for electric vehicles, highlighting a shift in consumer priorities as energy prices rise.

Plummer said: “Interest has picked up sharply as fuel prices rise, with new EV inquiries on our platform surging between February and March – the equivalent of one every minute last month,” he said.

“If that online intent converts into sales, progress will follow.

“With a wave of new models, deeper discounts and lower running costs, more buyers are starting to see EVs as a way to take control of their energy costs.

“The market may well be fast approaching an EV affordability tipping point.”