Britain’s second-hand car market is experiencing a notable resurgence, particularly in the electric vehicle (EV) segment, which has seen used EV sales soar by an impressive 67% in the second quarter of 2026. This uptick comes as the overall used car market surpasses two million sales for the first spring quarter since 2021, indicating a broader recovery within the automotive sector.
Strong Performance in the Used Car Market
According to recent data from the Society of Motor Manufacturers and Traders (SMMT), over two million used vehicles were sold from April to June 2026, totalling 2,009,318 transactions. This figure marks a 0.7% increase from the same period last year, representing the first time since 2021 that second-quarter sales have exceeded the two million threshold. The market remains just 1.2% below pre-pandemic levels, demonstrating a significant rebound following a slight dip in the first quarter of the year. For the first half of 2026, 4,025,550 used cars were sold, reflecting a modest increase of 0.2%.
This growth trend is particularly pronounced in the electric vehicle sector. The second quarter witnessed 110,761 used EV transactions, which not only represents a remarkable 67% leap but also accounts for a record 5.5% of the overall used car market. This is a substantial increase from approximately 3.3% during the same period last year, indicating that more consumers are opting for electric over traditional combustion engine vehicles.
April’s Surge and Market Dynamics
April proved to be a particularly strong month for used EV sales, with transactions more than doubling, rising by 110.9%. This surge is attributed to various factors, including heightened fuel prices linked to geopolitical tensions in the Middle East and a comparative weakness in the market from the previous year, when changes to vehicle excise duty were implemented. Subsequent months showed robust growth as well, with increases of 57.6% in May and 37.8% in June.
The movement towards electric vehicles is being fuelled by the increasing availability of second-hand models as cars originally purchased or leased new are being traded in. This influx provides buyers with a wider selection of electric vehicles across various price ranges and specifications.
Hybrid Vehicles and Traditional Fuels
While the electric vehicle market is flourishing, hybrid vehicles are also making strides. Used hybrid sales rose by 31.2% to 130,825 units, elevating their market share from 5% to 6.5%. However, plug-in hybrid sales did not experience the same upward trend, declining by 6.8% to 22,856 transactions, which saw their market share dip slightly from 1.2% to 1.1%.
Despite the growth of electric and hybrid vehicles, petrol and diesel cars continue to dominate the market, accounting for a staggering 86.7% of transactions in the second quarter. In total, 1,121,243 petrol cars changed hands, although this figure represents a 1.2% decline, while diesel sales fell by 7.2% to 620,045, reflecting the decreasing influx of new diesel vehicles into the used market.
The Changing Landscape of Used Car Preferences
Mike Hawes, Chief Executive of SMMT, described the return to growth as a positive indicator for both consumers and the automotive industry. He noted the importance of an abundant and affordable supply of used vehicles, particularly electric models, to meet growing demand. However, he cautioned that increasingly ambitious targets in the new car market could constrain supply further down the line and elevate costs, calling for urgent regulatory reforms to ensure a smoother transition for all drivers.
The composition of the used car market remains largely unchanged, with smaller vehicles leading in popularity. Superminis accounted for 31.7% of sales, while lower-medium cars captured 26.6% of the market. Dual-purpose vehicles, including SUVs, recorded the most significant growth, rising by 7.4% to hold a 17.7% share. Notably, consumer preferences in colour remained conservative, with black, grey, and white cars making up over 56.5% of sales during the quarter.
Why it Matters
The remarkable rise in used electric vehicle sales is indicative of a pivotal shift in consumer behaviour towards greener alternatives, driven by both environmental concerns and economic factors such as rising fuel costs. As used EVs gain traction, the market is poised for transformation, with implications for manufacturers, policymakers, and consumers alike. This trend not only reflects an evolving automotive landscape but also highlights the urgent need for infrastructure and regulatory support to sustain this momentum and facilitate a broader transition to sustainable mobility in the UK.
