UK overtakes Germany to become Europe’s top electric car market
- EV sales in Germany fell more than a quarter to 3.80 lakh last year compared to 3.81 lakh sold in the UK, where EV registrations surged 21%.
The UK surpassed Germany to become Europe’s largest electric-car market as the country’s EV sales mandate helped it buck a demand slowdown elsewhere in the region.
Registrations of new fully electric vehicles in Germany fell more than a quarter to 380,609 last year, according to data released Monday by the KBA regulator. That’s fewer than the 381,970 sold in the UK, where EV registrations surged 21%.
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Battery-powered cars have gained share in the UK in recent months as manufacturers tried to hit the country’s EV sales mandate. Automakers face fines of as much as £15,000 ($18,800) per vehicle for failing to comply, but can avoid penalties by using a credits-trading system and exceeding requirements in later years.
Meanwhile, EV sales have plummeted in Germany, where the removal of purchasing incentives in late 2023 has hurt demand. Sales in markets including Sweden, France and Ireland have also come in behind expectations after subsidy cuts and a lack of affordable models.
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Registrations also suffered as manufacturers waited to launch new EV models in 2025 to boost their chances of meeting new European Union regulations that come into effect this year, said Matthias Schmidt, an independent autos analyst who flagged the UK overtaking Germany earlier Monday. Manufacturers are facing billions of euros in fines if they fail to meet these stricter fleet-emissions rules.
A surge in December sales boosted EVs’ overall share of the UK car market to 19.6% for the year — still behind the 22% target — with price cuts continuing as manufacturers tried to meet the sales quota to avoid fines. The target increases to 28% this year. In Germany, EVs made up 13.5% of registrations in 2024.
The UK government is now reviewing the rules, which could result in increased flexibilities to help manufacturers meet them. Some clean-energy advocates fear watering down the quota could slow the shift away from the combustion engine.
Even in the UK, demand for EVs among individual customers remains low. Only one in ten private buyers chose an electric model in 2024, with business and fleet customers behind most of the increase.
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