UK car production falls sharply in September
By Iain Gilbert
Date: Friday 24 Oct 2025
(Sharecast News) - UK car and van production fell sharply in September, according to the Society of Motor Manufacturers and Traders, with total output down 35.9% year-on-year to 54,319 units.
The decline was driven by a cyber incident that halted production at Jaguar Land Rover and ongoing restructuring in the commercial vehicle segment, which saw commercial vehicle output drop 77.9% to 3,229 units-marking a sixth consecutive monthly decline.
Car production for the UK market fell 34.1% to 12,269 units, while exports declined 24.5% to 38,821 units, representing 76.0% of total output, with the EU, US, Turkey, Japan and South Korea remaining the top five export destinations.
Battery electric, plug-in hybrid and hybrid vehicles made up 47.8% of all cars built in the month, with volumes rising 14.7% to 24,445 units.
SMMT's September figures come ahead of the Autumn Budget on 26 November, with industry leaders urging the Chancellor to align fiscal policy with the government's Modern Industrial Strategy.
The sector also warned that plans to reclassify Employee Car Ownership Schemes could have far-reaching consequences, making vehicles unaffordable for many workers and undermining recruitment in regions with limited public transport. New SMMT analysis suggests up to 60,000 manufacturing employees could be affected, with wider impacts including 80,000 fewer new car sales annually, a 20,000-unit drop in UK production, and a potential £1bn revenue loss - putting 5,000 jobs and nearly £500m in government tax receipts at risk.
Reporting by Iain Gilbert at Sharecast.com
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