Tesla’s UK Sales Plummet to Two-Year Low in April Amid Rising EV Competition

Tesla‘s new car sales in the UK dropped by a staggering 62% in April 2025, hitting their lowest point in over two years, according to data released by research group New AutoMotive. This decline comes as the electric vehicle (EV) market faces increasing competition from European and Chinese brands, with Tesla preparing to launch a revamped Model Y to regain its footing.

Sharp Decline in Tesla’s UK Market Share

In April 2025, Tesla sold just 536 new cars in the UK, a significant drop from the 1,404 sold in the same month of 2024, as reported by Reuters. This decline has reduced Tesla’s year-to-date EV market share in Britain to 9.3%, highlighting the challenges the company faces in maintaining its dominance. Meanwhile, the overall battery-electric car market in the UK saw a modest increase of 6.9% in April, though growth slowed due to broader economic conditions, according to New AutoMotive.

Rising Competition from European and Chinese EV Brands

The UK EV market is becoming increasingly competitive, with brands like Volkswagen and China‘s BYD gaining significant ground. Volkswagen’s battery-electric sales in Britain surged by 194% to 2,314 vehicles in April, while BYD saw a 311% increase, registering 1,419 cars. These figures underscore the growing appeal of alternative EV options for British consumers, challenging Tesla’s position as a market leader. Tesla’s sales struggles are not isolated to the UK—national data from across Europe show similar multi-year lows in key markets last month.

Revamped Model Y Launch on the Horizon

Tesla is banking on the upcoming launch of its revamped Model Y to reverse this trend. According to Tesla’s UK website, deliveries of the updated Model Y will begin in June 2025. However, it may take a couple of months for sales data to reflect whether the redesign, which includes improved range and interior upgrades, can win back customers. The Model Y has historically been one of Tesla’s best-selling vehicles globally, but its aging design has faced criticism compared to newer offerings from competitors.

External Factors Impacting Tesla’s Performance

Beyond market competition, Tesla is grappling with external pressures tied to CEO Elon Musk‘s public image. Musk’s vocal support for far-right politics in Europe and his close ties to U.S. President Donald Trump have sparked protests against him and Tesla. Demonstrators have targeted showrooms and charging stations across the U.S. and Europe, potentially deterring buyers. Additionally, after Tesla’s first-quarter global sales and profit missed estimates in 2025, Musk announced two weeks ago that he would reduce his involvement with the Trump administration to focus on running the company, a move that may signal a strategic shift to address these challenges.

EVXL’s Take: Can Tesla Steer Back on Course?

Tesla’s rough patch in the UK is a wake-up call for the EV giant, but it’s not game over. The upcoming Model Y refresh could be the jolt Tesla needs—think of it as a pit stop to recharge and get back in the race. However, with Volkswagen and BYD accelerating their EV lineups, Tesla can’t afford to coast. Musk’s political stances might be fueling some of the backlash, and while he’s known for shaking things up, this might be one storm he didn’t see coming. For EV enthusiasts, this dip could mean better deals on Tesla models in the short term, but the real question is whether the revamped Model Y will have enough spark to win back British drivers. We’ll be watching those June sales numbers closely—stay tuned!

Photos courtesy of Tesla