IQ

Insight

Quarterly

Q1/2025

Welcome to the first edition of Insight Quarterly (IQ) 2025, Cox Automotive’s regular dive into the trends shaping the future of the UK automotive sector.

This latest issue is a focused look at the current dynamics influencing the new and used car market in the UK and Europe, as well as a view of the road ahead. 

Electrification is forging a path through both the used and new markets. Positive signals predict growth in new registrations, with steady adoption among fully-electric and hybrid vehicles. In the used car space, we are seeing growing price stabilisation across all vehicles and EVs assuming a larger slice of the car parc. However, current forecasts leave the UK short of its 2028 ZEV mandate targets. 

Even as more favourable dynamics evolve, consumers are not selecting electric at the necessary rate to meet current targets. To investigate why, we commissioned a joint consumer research study with Regit. This data reveals what consumers need from the government, manufacturers and dealers to help them make the leap to electric. 

Beyond electrification, challenges persist which further complicate how the automotive industry will operate in the coming years. Diesel ownership has taken a steep dive, production continues to outpace registrations, and new challenger brands increase their presence among legacy names. 

In this edition, we also explore the picture in Europe, with insight into the automotive industry in France, Germany, and Spain. 

We hope you enjoy our first edition of 2025’s IQ report and find it both valuable and shareable. Please get in touch to tell us what you would like to see in future issues. We look forward to exploring more ideas with you in the next IQ, which will be out in Q2 2025. 

New & used sales vs. global production volume

Source: SMMT / OICA / DVLA / Cox Automotive