Automotive News – Early January 2026

Industry discounts for electric vehicles are “unsustainable”, a major motoring group has warned, as the number of new cars registered in the UK exceeded two million last year for the first time since the pandemic.

Nearly 500,000 of the new cars sold were electric, according to figures from the Society of Motor Manufacturers and Traders (SMMT).

SMMT chief executive, Mike Hawes, welcomed what he called a “reasonably solid result amid tough economic and geopolitical headwinds”.

But electric car sales were still not increasing fast enough to meet official targets, he said, warning of a growing gap between consumer demand and the government’s ambitions.  Discounts worth thousands per vehicle were “unsustainable”, he said.

Sourced from BBC Website

Hauliers and fleet operators will access discounts of up to £120,000 on new electric trucks thanks to an additional £18 million announced by the government today (6 January 2026) to increase the Plug-in Truck Grant until March 2026.

The move is part of a £318 million plan for green freight, which is backing British businesses by slashing upfront costs on new lorries and helping businesses to access the lower running costs. This is all part of the government’s plan to reduce emissions while cutting costs, sparking growth and creating jobs as the sector moves to the technology of the future.

Similar to the government’s Electric Car Grant, which has saved over 45,000 drivers up to £3,750 when making the switch, the Plug-in-Truck Grant enables lorry operators to access savings of up to £120,000 when buying a new electric truck.

Sourced from gov.uk website

Van market shrinks in 2025 despite EV growth.

The UK’s new light commercial vehicle (LCV) market declined by -10.3% in 2025 with 315,422 vans, pickups and 4x4s registered, according to the latest figures published today by the Society of Motor Manufacturers and Traders (SMMT). Fleet renewal shrank in every month last year other than December, which posted a slight 1.7% rise, reflecting a challenging economic environment and weak business confidence.

Across the year, registrations of new medium-sized vans declined -20.7% to 51,639 units, while large vans dropped -9.8% to 210,262 but remained the most popular segment with a 66.7% share of the overall market. Pickups also ended the year down, by -0.7% with 37,308 registrations, despite growth in early 2025 to get ahead of government’s tax change – which now treats double cabs as cars for benefit in kind and capital allowance purposes. There was growth in the lower-volume segments, with registrations of small vans and 4x4s up 1.9% and 2.3% respectively, to 8,766 and 7,447 units.

Sourced from SMMT

Nissan’s UK operations made a pre-tax loss of £888m last year after it wrote off the value of its equipment.  The Sunderland car maker deducted a £656m impairment charge from its accounts ending 31 March 2025 because its fixed assets – such as machinery – had become less valuable.

The company said key factors in the devaluation were “challenges” it faced in electrifying its car models as well as increased competition.

But Nissan said it had received a £900m boost to its finances from its parent company, had begun its global Re:Nissan recovery strategy and still planned to launch two new electric models.

Sourced from BBC website