London, 5 February 2026 – The latest UK new car registration data from the Society of Motor Manufacturers and Traders (SMMT) paints a picture of a market undergoing subtle but profound change, according to Stuart Masson, Editorial Director of The Car Expert.
“Today’s figures tell a very different story from the headlines,” Masson said. “While the focus is often on EV market share, that isn’t where the most significant shift is happening.”
The standout trend, he explained, is the rapid rise of new Chinese entrants. BYD UK and the Chery Group together registered nearly 13,000 vehicles in January – surpassing Volkswagen UK, still the UK’s largest individual brand. With the overall market growing by fewer than 5,000 cars year-on-year, this means that the rest of the market actually declined.
“When you exclude BYD, Chery, and other newcomers such as Leapmotor, Changan, and Geely, the rest of the UK market fell by around 4% compared to January last year. What looks like growth is, in reality, displacement,” Masson said.
Chery’s impact is particularly striking. Its brands – Omoda, Jaecoo, and Chery – collectively ranked as the UK’s third-biggest seller for the month. The Jaecoo 7 alone outsold more than half of the other car brands, despite having been absent from the market just 12 months ago. A fourth Chery brand, Lepas, is set to launch later this year.
These Chinese arrivals are also influencing plug-in hybrid sales. Models such as the Jaecoo 7, BYD Seal U, and MG HS feature among the month’s top ten sellers, reinforcing Masson’s point that UK EV policy changes will not prevent Chinese imports from shaping the market.
Masson cautioned that EV headline figures require careful interpretation. Tesla, for example, saw registrations fall 51% in January, a fluctuation that does not necessarily indicate a collapse in demand but may reflect manufacturers’ registration strategies around ZEV targets. By the end of Q1, he suggested, a clearer view of market trends will emerge.
As of now, the SMMT lists 54 car brands operating in the UK, with more arrivals planned this year, including Lepas, Mitsubishi, and Denza. Yet Masson warns that the key question is not how many brands are entering the market, but how many of the current players will remain in a few years’ time.
“The UK car market is in a state of rapid evolution,” he concluded. “Disruption isn’t just coming – it’s already here.”
