Electric vehicle sales are accelerating across Europe as higher oil prices, government subsidies and a growing range of more affordable models encourage more drivers to move away from combustion-engine cars.

In July 2026, EV registrations increased by 13% year on year across 16 European markets representing more than 90% of car sales in the EU and European Free Trade Association. Electric vehicles accounted for 25.7% of all new car sales in those markets.

For many consumers, electric cars are becoming not only an environmental choice but also a way to reduce exposure to volatile petrol and diesel costs.

EVs move into the mainstream

Renault has seen a particularly sharp shift in demand in the UK.

Two years ago, electric cars represented only around 10% of the brand’s British sales. In July 2026, more than half of Renault’s UK orders were for EVs.

The Renault 5, a modern electric revival of the company’s famous model first launched in 1972, became Britain’s best-selling electric car in July. The model offers a driving range of up to 250 miles.

Renault also plans to launch the electric Twingo later this year with a starting price below £20,000, before any potential government support is applied.

The arrival of more affordable cars is seen as an important step because high purchase prices have long been one of the biggest barriers to broader EV adoption.

Lower running costs attract buyers

For some consumers, the financial difference is already significant. One new Renault Megane EV owner said charging the vehicle at home costs slightly more than £1, compared with around £60 to fuel her previous combustion-engine car.

This kind of gap is helping change attitudes toward electric vehicles, particularly at a time when fuel costs remain unpredictable. Across the European Union, EV sales increased by 40.5% in the first half of 2026 compared with the same period in 2025, exceeding 1.2 million vehicles. Electric cars accounted for 20.7% of all new registrations during that period.

Online interest is also rising

The shift is visible beyond dealership sales.

Enquiries for electric cars rose by 84% in France, 59% in Romania, 30% in Portugal and 19% in Poland. Affordable Chinese electric brands are also appearing more frequently in online listings, giving buyers access to a wider range of models at different price points.

Another survey conducted in Germany found that 62% of 1,000 respondents considered switching to an EV the best long-term response to persistently high fuel prices.

France reaches a record share

Government support is playing an especially important role in France. Between January and July, electric vehicles represented 29% of new car sales in the country. In July alone, their share reached a record 35%, compared with 17% a year earlier.

The increase coincided with the launch of France’s social leasing subsidy programme, designed to make electric vehicles more accessible to lower-income buyers.

The programme has helped create conditions that accelerate the transition by reducing the financial barrier to purchasing an EV.

The US follows a different path

The situation looks very different in the United States. After the federal EV tax credit was removed last year, second-quarter electric vehicle sales increased by 15% compared with the first quarter but fell by more than 20% year on year.

US EV sales are expected to decline by 23% in 2026 compared with 2025, leaving electric cars with a market share of only 6.2%. The lack of affordable models is one of the factors limiting demand.

Charging remains a major obstacle

Despite strong European growth, the transition still faces practical challenges.

Millions of people live in apartments and cannot easily install private home chargers. Public charging infrastructure therefore remains crucial for further market expansion. Without more convenient and accessible charging options, growth could eventually slow even if consumer interest remains high.

Some industry analysts warn that Europe may approach a point where many people would like to switch to an EV but cannot do so because charging is too difficult.

More choice is changing the market

The European EV market is now being supported by several forces at once: expensive fuel, government incentives, cheaper electric models and growing consumer confidence.

Traditional carmakers and Chinese competitors are both expanding their electric line-ups, while buyers are increasingly comparing EVs not only by emissions but also by everyday running costs.