New Electric Van Market Still Well Below Government Target

The UK’s transition to electric vans continues to fall short of Government expectations, despite steady growth in demand and wider availability of battery‑electric models.

Latest registration data from the Society of Motor Manufacturers and Traders (SMMT) shows that electric vans account for around 11.8% of the new van market so far this year, less than half of the 24% share required under the Government’s Zero Emission Vehicle (ZEV) mandate. While sales of electric vans are increasing, the pace of adoption remains far behind regulatory ambition.

Electric van registrations have risen sharply compared with last year, with battery‑electric van volumes up significantly in recent months. However, diesel vans continue to dominate the market, particularly in the 2.5‑ to 3.5‑tonne segment, which accounts for the majority of new van registrations. This reflects the operational realities faced by many fleets, where payload, range and downtime remain critical factors.

SMMT data shows that even where electric van demand is improving, it is not doing so at a rate that matches official targets. As a result, manufacturers are having to having discount electric vehicles to encourage demand, a situation the industry has described as commercially unsustainable.

Fleet operators continue to cite charging infrastructure, upfront vehicle costs and operational suitability as key barriers to faster adoption. While recent Government announcements — including extended plug‑in van grants, new depot charging schemes and proposed planning changes for private charger installations — are expected to help, these measures have yet to translate into sufficient market uptake.

For many van‑dependent businesses, switching to electric vehicles still requires significant changes to working practices. Without reliable access to depot, workplace or home charging, electrification can introduce new risks around downtime and productivity.

As the electric van market continues to develop, the challenge for Government will be balancing ambitious emissions targets with the practical needs of businesses that rely on vans to operate day‑to‑day. Without that balance, the gap between regulation and reality looks set to remain.