Electric cars sales drive new registrations in June before incentives reduce 

Buyers availed of full SEAI grant of €5,000 before reduction to €3,500 from July I, industry body says

The maximum SEAI grant for electric vehicles reduced from €5,000 to €3,500 at the start of July. 

New car registrations jumped 39% in June, driven by people switching to electric vehicles (EVs) before incentives were reduced at the start of this month, new data from the Society of the Irish Motor Industry (SIMI) shows.

In total, there were 2,994 new car registrations during June compared to 2,154 in June 2022. Of that, nearly half, 1,441, were new EVs, representing a massive 666.5% increase on the 188 new electric cars registered in June last year.

Brian Cooke, director general of the SIMI, said there was “no doubt” that the high number of EV sales in June was because buyers wanted to avail of the full SEAI grant of €5,000 before it was reduced.

From July 1, the maximum grant now stands at €3,500.

Mr Cooke said there were still significant incentives for EV buyers including home-charger grant support, VRT relief, as well as low annual road tax.

“These supports, along with an increasing number of EV models coming to market, should ensure strong new car activity as we enter the 232 registration plate sales period,” he said.

This increase seen in June comes as the new 232 licence plates came into effect on July 1, which usually gives the industry another boost in sales.

In the year to the end of June, car sales are up 18.8% to 77,488 compared to the 65,211 recorded during the same period in 2022. Of the total in June, 14,307 were new electric cars.

Mr Cooke said the new car market was performing strongly despite still being 4% behind 2019 pre-pandemic levels.

“The gap is closing every month, aided by fulfilment of 2022 orders and improved new vehicle supply,” he said.

Electric vehicles, plug-in hybrids and hybrids continue to increase their market share, with a combined market share, year to date, now of 43.63%.

Petrol cars retain the largest share at 31.85%, while diesel accounts for 21.87%.

New registrations of light commercial vehicles are up 72.5% to 1,087, compared to June last year, while heavy goods vehicle registrations also saw an increase of 28.4% to 131.

There were 4,230 used cars imported into the country in June, a 2.6% decrease compared to last year. So far this year, there have been 25,057 used cars imported.