Demand for plug-in hybrids is continuing to drive a shift towards alternative fuel vehicles, despite a reduction of the plug-in car grant, registration figures from the SMMT have revealed.

Rapid growth of the plug-in hybrid market is driving registrations alternative fuel vehicles.

Registrations of alternative fuel vehicles – comprising electric, hybrid, plug-in hybrid and hydrogen fuel cell models – climbed 24.5% in the first nine months of the year, to 69,095 units.

Almost half of that 13,578 increase is plug-in hybrid and range-extended electric vehicles, which the SMMT classes together. These rose 47.8% to 20,178 units, an increase of 6,526 cars. By comparison, fully electric vehicles – including hydrogen fuel cell vehicles – increased 17.2% year-to-date, reaching 8,150 units.

Reflecting the increased pace of the market, of the 75,647 vehicles eligible for the Plug-in Car Grant since it was introduced in 2011, 28,035 (37.1%) were registered in the first nine months of 2016. Fully electric vehicles accounted for 28.8% of that volume, down from 33.8% in the same period of 2015.

These figures reflect no immediate slowing of demand for plug-in hybrid and range-extender models, for which the available Plug-in Car Grant reduced from £4,500 to £2,500 for applications made after the 1^st March. Some cars bought under the old scheme will still not have been registered.

Conventional hybrids are still the biggest volume sellers, accounting for 59.0% of the market – some 40,767 units. That’s up 16.8% on the same period of 2015.