UK car output jumps nearly 39 percent

September marked a significant uptick in UK vehicle production, with output climbing 36.3% year-over-year to reach 74,031 units. Car manufacturing alone surged 38.6% annually, hitting 70,831 vehicles, while electrified models grew 22.5%—comprising 42.3% of total car output for the month.

Commercial vehicle manufacturing was down by 0.9%, with 3,200 units produced. Year-on-year, there were slight increases in the proportion of vehicles going for export in September, from 76% to 76.7% for cars and 41.6% to 42.6% for commercial vehicles.

September Performance

The increase in production is a positive sign for the industry, especially considering the context of the JLR cyberattack which occurred last year. The Society of Motor Manufacturers and Traders (SMMT) publishes the data and said it was forecasting full-year vehicle production of 731,000 units, which would be a 2.3% year-on-year decline.

Over the first nine months of 2026, UK vehicle production totals 564,537 units, which is down by 3%, chiefly due to a 46.7% decline in commercial vehicle manufacturing.

Challenges Ahead

According to the SMMT, there are three major threats to UK vehicle manufacturing: the potential exclusion of the UK from the EU’s ‘Made in Europe’ proposals; pending tougher rules of origin based on the Brexit agreement; and what it described as “unrealistic” EV sales targets. Mike Hawes, chief executive at the SMMT, said: “September’s rebound is welcome, but comparison with last year’s disruption masks the pressures on UK manufacturing.

“Pragmatic discussions with trade partners are required but Government can immediately help the industry with an urgent conclusion to the ZEV Mandate review. Mandate targets are running ahead of demand and draining resources required for British factories and jobs. Substantive changes, not marginal adjustments, are needed to ensure decarbonisation does not come at the cost of reindustrialisation.”

Year-to-date car production is up by 0.1%, and the SMMT is forecasting a recovery in the coming years. The UK automotive industry will be watching the developments closely, and the outcome will have significant implications for the sector. The SMMT’s forecast indicates that the industry is expected to produce 752,000 units in 2027, which would be a significant increase from the current year’s forecast of 731,000 units.