UK Demand for New Vans Shrinks for Fourth Month Running
New light commercial vehicle (LCV) registrations in the UK declined by -3.2% in March 2025, marking the fourth consecutive monthly fall. According to the latest figures from the Society of Motor Manufacturers and Traders (SMMT), 51,221 vans, 4x4s, and pick-ups joined UK roads last month.
The decline was driven by a -10.0% drop in registrations of the largest vans, which remain the most popular segment with 62.5% of the overall market. Deliveries of medium-sized vans and 4x4s also fell, by -8.5% and -18.9% respectively. However, demand for smaller vans continued to rise for the 13th successive month, up 60.8% to 1,585 units.
Registrations of new pickups surged by 40.6% in March, with 8,107 units joining UK roads. This surge was attributed to businesses investing in these vehicles ahead of upcoming fiscal measures that will treat double-cabs as cars for benefit-in-kind and capital allowance purposes.
On a positive note, demand for new battery electric vans (BEVs) weighing up to 4.25 tonnes grew for the sixth month in a row, up 40.3% to 4,215 units – a new monthly high. The latest models have taken 8.3% of the market in the first three months of 2025, up 2.8 percentage points from the same period last year.
The SMMT is urging the government to delay the fiscal measures for at least one year to allow industry, businesses, and vehicle buyers to prepare for the change. Mike Hawes, SMMT Chief Executive, stated that while it’s positive that electric uptake continues to rise, demand is still well below 2025 ambitions, and bold plans for infrastructure rollout and workable regulation are needed to grow operator confidence and investment.
Key Statistics
- Total LCV registrations in March 2025: 51,221 units
- Change in LCV registrations: -3.2%
- BEV LCV registrations in March 2025: 4,215 units
- Change in BEV LCV registrations: +40.3%
- Market share of BEV LCVs in Q1 2025: 8.3%
The Plug-in Van Grant remains crucial in supporting current levels of operator uptake. However, current levels are little more than half the 16% zero-emission market share mandated for 2025. The SMMT emphasizes the need for urgent action to encourage more operators to switch to electric vehicles, including guarantees that LCV-suitable infrastructure will be ramped up.
