07 May 2026

UK fleet growth is rising – but so is the age of vehicles

There are now more vehicles on UK roads than ever before, hitting 42.5 million in 2025 according to the Society of Motor Manufacturers and Traders (SMMT). At the same time, electrification is continuing to gather pace, with around one in nine electrified overall. But alongside this growth sits another trend that fleet managers should be paying close attention to.

The UK is holding onto vehicles for longer

While the number of vehicles on UK roads continues to grow, so too does their age.

SMMT data shows that almost half of cars are now more than 10 years old, with the average vehicle age reaching a record high. This is being driven by a mix of cost pressures, businesses extending replacement cycles, and the lasting impact of supply challenges in recent years.

Holding onto vehicles for longer may ease short-term financial pressure, but it can introduce new challenges over time.

Delaying replacement can appear cost-effective on paper, but older vehicles tend to become less efficient and more expensive to run as time goes on, particularly with rising fuel prices.

Fuel consumption typically increases as vehicles age, while wear and tear leads to more frequent servicing and a greater risk of unexpected repairs.

Electrification is growing… gradually

The continued growth in zero emission vehicles is a positive sign, but wide-scale adoption remains gradual.

While millions of vehicles are now electrified, they still represent a relatively small proportion of the total number on UK roads – around 11-12%. As a result, many businesses are managing a mixed fleet, balancing newer electric vehicles with older petrol and diesel models.

Taking a more strategic approach to fleet management

Rather than simply delaying replacement, fleets are increasingly looking at how to balance short-term cost pressures with long-term efficiency.

That might mean prioritising the replacement of older, less efficient vehicles, introducing electric vehicles where they are operationally viable, and focusing on whole-life costs rather than upfront spend alone.

With the right approach, fleet managers can reduce exposure to rising fuel and maintenance costs, while also making steady progress towards electrification.

At the same time, in a challenging economic environment, many businesses are also exploring ways to release capital tied up in their existing fleet. Solutions offered by Activa Contracts such as sale and leaseback can play an important role, allowing operators to unlock cash from owned vehicles while continuing to use them. 

Activa works with businesses to take a more joined-up approach to fleet planning – helping them manage costs today while preparing for the transition ahead.