Vehicle production in UK hits 73-year low

Fahad Redha

January 29, 2026
3 min read

Vehicle production in UK hits 73-year low

Vehicle production in the UK, including cars, vans, trucks, and buses, has fallen to its lowest level since 1952, the Society of Motor Manufacturers and Traders (SMMT) has revealed, in what its chief executive, Mike Hawes called “the toughest year in a generation.”

The industry was hit with a major cyber attack at Jaguar Land Rover, as well as the closure of the Vauxhall factory in Luton, not to mention America’s tariffs causing uncertainty for the industry as a whole.

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This year, with the launch of new electric models, vehicle production hopes to bounce back, with the SMMT predicting that it could exceed 1 million by 2027. But “increasingly protectionist” proposals from Brussels, Hawes said, posed a “significant threat” to the industry.

764,715 vehicles rolled off production lines in the UK in 2025. That is 15.5% fewer than the previous year. Cars made up the bulk, with 717,371 manufactured, 60,000 fewer than the year before. For comparison, in 2016, 1.7 million cars were built in the UK.

Since then, according to analysts, uncertainty regarding Brexit, the Covid pandemic, supply chain issues, and the closure of Honda’s plant in Swindon, have all taken their toll on the industry.

Vehicle production in 2025 was affected by various issues including the cyberattack against Jaguar Land Rover which forced the firm to shut down its computer networks. This put a stop to its factories in September.

And with nearly 80% of vehicle production in the UK being earmarked for export, the industry is vulnerable to trade issues, including tariffs, such as those from the US.

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