Read our Privacy noticeThe British motor industry suffered “its worst year in a generation” in 2025 with the number of vehicles built down by 15.5 per cent, according to a new report. Europe received the majority (56.7 per cent) of vehicles exported, followed by the US (15 per cent) and China (6.3 per cent). Mr Hawes said he was “optimistic” and independent forecasters see the industry recovering in 2026, with total vehicle production shifting up to around 824,000 units. Production of battery electric (BEV), plug-in hybrid (PHEV) and hybrid (HEV) cars rose by 8.3 per cent to a combined 298,813 units – a record 41.7 per cent share of output. "The launch of a raft of new, increasingly electric models and an improving economic outlook in key markets augur well.