While the headlines often focus on factory closures, Britain's motor industry is quietly roaring back to life, producing over 904,000 cars in 2023 alone and cementing its place as an electrified, export-driven powerhouse.
Key Takeaways
- UK car production totalled 904,490 vehicles in 2023, a 19.2% increase from 2022
- UK commercial vehicle production reached 198,000 units in 2023, up 36.4% year-on-year
- Battery electric vehicle (BEV) production in the UK hit 126,000 units in 2023, representing 13.9% of total car output
- New car registrations in the UK totalled 1,903,356 units in 2023, up 17.4% from 2022
- Battery electric vehicles (BEVs) achieved 16.5% market share with 314,684 registrations in 2023
- Plug-in hybrid (PHEV) sales reached 89,170 units, 4.7% market share in 2023
- The UK automotive workforce employed 166,000 people directly in 2023
- Manufacturing roles accounted for 82,000 jobs in UK motor industry in 2023
- Jaguar Land Rover employed 38,000 UK staff in 2023
- UK automotive exports totalled £39.5 billion in 2023, up 13%
- Cars accounted for 77% of automotive exports value at £30.4 billion in 2023
- US was top destination with £6.2 billion car exports in 2023
- Automotive sector contributed £82 billion to UK GDP in 2022 (latest full data)
- Direct GVA from manufacturing £26 billion in 2022
- Total investment in UK automotive reached £15 billion 2021-2023
UK car production rose significantly in 2023, with a strong export market and surging electric vehicle output.
Economic Impact and Investments
- Automotive sector contributed £82 billion to UK GDP in 2022 (latest full data)
- Direct GVA from manufacturing £26 billion in 2022
- Total investment in UK automotive reached £15 billion 2021-2023
- JLR committed £15 billion investment plan to 2025 including UK
- Nissan £1 billion EV investment in Sunderland announced 2023
- £2.5 billion government Advanced Manufacturing Plan for autos 2023
- EV battery gigafactory investments total £3.3 billion by 2023 announcements
- Sector paid £7.1 billion corporation tax in 2022
- Supply chain multiplier effect added £71 billion to economy in 2022
- R&D spend £5.2 billion by OEMs in UK 2022
- Stellantis £100 million Luton EV van investment 2023
- Regional GDP contribution West Midlands £25 billion from autos 2022
- £500 million UK Battery Industrialisation Centre funding 2023
- Exports supported 250,000 jobs worth £20 billion wages 2023 est.
- Toyota £240 million new Corolla investment Deeside 2021-23
- Net Zero transition costs estimated £12 billion to 2030
- Retail sector turnover £70 billion in 2023
- Foreign direct investment £2.7 billion in 2023
- £1 billion Faraday Battery Challenge projects operational 2023
- VAT contributions £15 billion from sector 2022
- Apprenticeship levy return £300 million to skills in 2023
- Bentley £2 billion electrification investment plan 2023-30
Economic Impact and Investments Interpretation
While still the nation's economic engine, the UK automotive sector is now frantically retooling its petrol-headed past into an electric future, a multi-billion pound gamble where the sheer scale of investment proves both its immense value and the colossal cost of staying relevant.
Employment and Workforce
- The UK automotive workforce employed 166,000 people directly in 2023
- Manufacturing roles accounted for 82,000 jobs in UK motor industry in 2023
- Jaguar Land Rover employed 38,000 UK staff in 2023
- Nissan UK workforce totalled 6,500 at Sunderland plant in 2023
- Apprentice numbers in UK automotive sector reached 12,000 in 2023
- Female employment share in motor manufacturing rose to 22% in 2023
- UK automotive supply chain supported 185,000 indirect jobs in 2023
- Average salary in UK car manufacturing was £32,500 in 2023
- 15,000 new jobs created in EV manufacturing transition by 2023
- Toyota UK employed 3,200 staff across plants in 2023
- Redundancies in sector totalled 4,200 in 2023 due to plant closures
- STEM skills gap affected 40% of UK automotive employers in 2023
- Bentley employed 4,200 in Crewe, 25% skilled engineers in 2023
- UK motor retail employed 360,000 people in 2023
- Diversity: 5% BAME representation in manufacturing workforce 2023
- Training investment hit £250 million by OEMs in 2023
- Age profile: 25% workforce over 55 in UK automotive 2023
- Stellantis UK staff 18,000 across sites in 2023
- Electric vehicle battery skills roles grew 50% to 2,500 in 2023
- Regional employment: West Midlands 45% of total automotive jobs 2023
- Zero-hour contracts in retail 12% of workforce in 2023
- Rolls-Royce Motors 2,500 employees in Goodwood 2023
- Automotive engineering graduates entering industry 8,000 annually in 2023
- Union membership 35% in manufacturing plants 2023
- Gigafactory jobs projected 8,000 at full capacity by 2026, current 1,000 in 2023
- Dealer technician shortage 20,000 vacancies in 2023
- McLaren 1,400 staff in 2023
Employment and Workforce Interpretation
While the UK automotive industry flexes its considerable muscle with 166,000 direct jobs, a buzzing electric pulse of 15,000 new EV roles, and a £32,500 average salary, it’s simultaneously trying to plug a worrying leak represented by a 20,000-strong technician shortage, a 40% STEM skills gap, and a workforce where one in four is over 55, proving that even this powerful engine needs constant tuning for the road ahead.
Exports and Imports
- UK automotive exports totalled £39.5 billion in 2023, up 13%
- Cars accounted for 77% of automotive exports value at £30.4 billion in 2023
- US was top destination with £6.2 billion car exports in 2023
- EU exports fell to 52% share but £21 billion value in 2023
- China imported £1.1 billion UK luxury cars in 2023
- Commercial vehicle exports reached £4.7 billion in 2023, up 22%
- 80% of UK-produced cars exported in 2023
- Australia post-Brexit trade deal boosted exports by 15% to £800 million in 2023
- Engine exports totalled £2.1 billion, down 8% in 2023
- Japan imported 12,000 UK cars worth £500 million in 2023
- Turkey CV exports up 40% to £300 million in 2023
- Imports totalled £48.2 billion in 2023, up 5%
- EU car imports 1.1 million units, 65% of market in 2023
- Germany supplied 22% of UK car imports in 2023
- Japan car imports 150,000 units to UK in 2023
- Chinese imports surged 200% to 70,000 vehicles in 2023
- Trade deficit widened to £8.7 billion for cars in 2023
- Components exports £12 billion, imports £25 billion in 2023
- Mexico CV exports from UK £450 million in 2023
- South Korea imports to UK £2.5 billion vehicles in 2023
- UAE luxury exports £900 million from UK in 2023
- Post-Brexit customs delays cost £1.2 billion in 2023 exports
- UK van exports 110,000 units mainly to Europe in 2023
- India imports niche UK cars £200 million in 2023
- Spain top EU export destination 120,000 cars in 2023
- EV exports doubled to 100,000 units in 2023
- Components imports from China up 30% to £5 billion in 2023
- Canada exports £400 million UK vehicles in 2023
Exports and Imports Interpretation
While the UK's car exports are motoring along nicely, the industry is running on fumes due to a lopsided trade deficit, Brexit potholes, and a worrying dependence on imported parts, proving we're still better at selling our wheels abroad than making them self-sufficiently at home.
Production and Manufacturing
- UK car production totalled 904,490 vehicles in 2023, a 19.2% increase from 2022
- UK commercial vehicle production reached 198,000 units in 2023, up 36.4% year-on-year
- Battery electric vehicle (BEV) production in the UK hit 126,000 units in 2023, representing 13.9% of total car output
- UK engine production stood at 346,000 units in 2023, a decline of 10.3% from the previous year
- Jaguar Land Rover produced 430,000 vehicles in the UK in fiscal year 2023
- Nissan Sunderland plant output was 430,000 vehicles in 2023, making it Europe's largest car plant by volume
- UK car production for export accounted for 77.6% of total output in 2023
- Toyota Burnaston plant produced 152,000 vehicles in 2023
- Mini Oxford plant output reached 185,000 vehicles in 2023
- Vauxhall Ellesmere Port produced 85,000 vans in 2023 before transition to EVs
- UK axle production totalled 1.2 million units in 2023
- Stellantis UK plants produced 250,000 vehicles combined in 2023
- UK car production in December 2023 was 67,915 units, up 32.3%
- Electric drivetrain production rose 70% to 150,000 units in 2023
- UK manufactured 38% of all cars produced in Europe in Q4 2023
- Honda Swindon plant ceased car production in 2021 with 130,000 units final output
- Ford Bridgend engine plant closed in 2020 after producing 10 million engines
- UK component sector output value was £15.6 billion in 2022
- Alexander Dennis bus production hit 3,000 vehicles in 2023
- Bentley Crewe produced 13,560 cars in 2023, a record high
- Rolls-Royce Goodwood output was 6,032 vehicles in 2023, up 5%
- UK van production reached 152,000 units in 2023, up 41%
- Aston Martin Gaydon produced 6,412 cars in 2023
- McLaren Technology Centre output 2,306 vehicles in 2023
- Lotus Hethel produced 1,800 vehicles in 2023
- UK car body production was 850,000 units in 2023
- Transmission production totalled 450,000 units in 2023, down 5%
- UK produced 12% of global luxury car volume in 2023 from brands like Bentley and Rolls-Royce
- JLR Halewood produced 200,000 Range Rovers and Defenders in 2023
- UK OEMs invested £2.5 billion in new manufacturing facilities in 2023
Production and Manufacturing Interpretation
The UK automotive industry, now a global luxury and electric vehicle hub exporting nearly four-fifths of its output, is a study in contrasts: while electric vehicle production and premium brands like Bentley are hitting record highs, traditional engine output is declining faster than a dropped spanner, proving the sector is simultaneously racing forward and carefully shedding its old skin.
Sales and Market Share
- New car registrations in the UK totalled 1,903,356 units in 2023, up 17.4% from 2022
- Battery electric vehicles (BEVs) achieved 16.5% market share with 314,684 registrations in 2023
- Plug-in hybrid (PHEV) sales reached 89,170 units, 4.7% market share in 2023
- Petrol cars held 53.4% market share with 1,017,000 registrations in 2023
- Diesel registrations fell to 7.9% market share, 150,000 units in 2023
- Ford Puma was the UK's best-selling car with 44,653 units in 2023
- Kia Sportage ranked second with 38,397 registrations in 2023
- Tesla Model Y was top EV with 96,000 UK sales in 2023
- Market share of Chinese brands rose to 3.2% with 61,000 units in 2023
- Vans registrations hit 381,124 units in 2023, up 10%
- Supermarket segment led with 22% market share in 2023
- SUVs accounted for 48.2% of new car sales in 2023
- December 2023 new car sales reached 152,422 units, up 20.5%
- Volkswagen Group held 13.4% market share in 2023
- Toyota achieved 6.8% market share with 129,000 units in 2023
- MG Motor sales surged 75% to 38,000 units, 2% share in 2023
- Private buyer registrations were 61% of total market in 2023
- Fleet sales dominated with 56% share in Q4 2023
- Hybrid vehicles (non-plug-in) took 16.8% share with 320,000 units in 2023
- Used car sales reached 7.6 million units in 2023, up 4%
- Online used car sales share hit 25% in 2023
- Kia brand market share 5.1% with 97,000 cars in 2023
- Nissan Qashqai sales 32,000 units, top crossover in 2023
- Mercedes-Benz vans 15% market share with 57,000 registrations in 2023
- Tesla overall EV share 30% with over 100,000 units in 2023
- BMW Group 7.2% market share in 2023
- Audi sales 119,000 units, 6.2% share in 2023
- Small cars segment 18% market share in 2023
- Pick-up trucks registrations up 25% to 45,000 in 2023
- UK new car market share for premium brands 25% in 2023
- Ford overall 9.5% market share despite Puma success in 2023
Sales and Market Share Interpretation
The UK car market appears to be caught in a schizophrenic tug-of-war, with nearly half of us still clinging to petrol tanks while simultaneously flirting with electric dreams and stuffing our driveways with lumbering SUVs.
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