New van registrations in the UK fell by nearly 12% in May, marking the sixth consecutive monthly decline and signalling persistent uncertainty in the light commercial vehicle (LCV) sector.

According to figures published by the Society of Motor Manufacturers and Traders (SMMT), 22,796 new LCVs hit the road last month – a drop of 11.8% compared with May 2023, and the lowest May total in three years.

Demand fell across every core van segment. The backbone of the UK fleet – vans between 2.5 and 3.5 tonnes – declined by 14% year-on-year to 14,652 units. Medium vans were down 9.2% to 4,065, and even the smallest vans slipped by 7.8% to just 673 registrations.

Despite the market slowdown, Ford continues to dominate the sales charts. The Transit Custom remained the UK’s best-selling van in May, with 3,365 registrations, followed by the larger Transit on 2,449. The Peugeot Partner came in third with 1,216 units, which is a strong showing for a compact van in a month where most segments declined.

Peugeot Partner van sales were a high spot for May

The only growth came from two extremes: a 36.9% rise in 4x4s (albeit from a small base) and a 50% year-on-year increase in battery electric vans (BEVs), with 1,731 electric vans registered in May.

Pickup pain

Pickups – once a bright spot for rural and sole trader buyers – dropped 12.7% to 2,690 units in May. The downturn is being linked directly to April’s tax changes, which removed the long-standing commercial vehicle treatment for double-cab pickups. The new rules, which align Benefit-in-Kind (BiK) and capital allowances for double-cabs with those for cars, are already impacting confidence.

“Six months of declining new van demand reflects a tough economic environment and weak business confidence – and that won’t be helped by punitive taxes such as on double-cabs that will only restrict wider growth,” said Mike Hawes, SMMT chief executive. “Fleet renewal with the latest, cleanest models must be encouraged.”

The SMMT is urging the government to roll back the new tax rules and delay their introduction by at least a year to give businesses time to adapt, warning that pushing buyers away from new pickups risks keeping older, more polluting vehicles on the road for longer just as more efficient models like the Ford Ranger PHEV and KGM Musso EV come to market.

Electric van growth still behind the curve

Despite strong percentage growth, the uptake of electric vans still lags well behind where it needs to be. Battery-electric vans made up 7.6% of registrations in May and 8.2% year-to-date – only half of the 16% market share mandated under the government’s ZEV (Zero Emission Vehicle) target for 2025.

Hawes welcomed the ongoing growth, but said the numbers make clear “we need action to drive that uptake faster. Accelerating LCV-centric and affordable chargepoint rollout is the bold next step that van operators and manufacturers need now.”

The lack of dedicated public charging for LCVs, especially at depots and logistics hubs, continues to be a major barrier to adoption.

Matt Hawkins, head of Flexis UK&I, added: “Businesses are ready to make the transition, but they need confidence – be it in the charging network, in costs, and in long-term support. That’s why stronger coordination between government, industry, and infrastructure providers is essential.”

Phil Huff
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