Last month, the Society of Motor Manufacturers & Traders (SMMT) published its list of the top-selling cars of 2025, and the data makes for some very interesting reading. Of particular note, last year saw a 3.5% increase in registrations compared to 2024, with new-car sales surpassing 2 million for the first time since the pandemic, but still lagging by approximately 25% from the market highs seen in 2016. 

BYD, the Chinese car manufacturer which has recently overtaken Tesla as the world’s premier electric car (“EV”) retailer, has seen a massive boom in sales in the UK in the last couple of years, where it accounted for 2.54% of new car registrations in the UK in 2025, up from 0.45% for the whole of 2024

The UK is responsible for 30% of all Chinese car sales in Europe. Chinese brands such as BYD, Omoda and Jaecoo have seen a huge increase in UK sales recently, with BYD capturing 2.54% of market share in 2025. But why is this happening, and what does it mean for incumbent, established manufacturers in both the UK and global markets? Not to mention how it could impact consumers?

A clear trend identified by the BVRLA is the growing importance of salary sacrifice, with 90% of leasing companies anticipating an increase in uptake among large corporate customers, as employees increasingly seek cost-efficient ways to access vehicles, particularly electric vehicles (EVs), as part of their overall compensation package.