Van Market Dips But Smart Operators Are Still Moving Forward

The latest data from the Society of Motor Manufacturers and Traders (SMMT) shows that the UK’s new van market is feeling the pressure. In March 2025, light commercial vehicle (LCV) registrations dropped by -3.2% compared to the same time last year – the fourth consecutive monthly decline.

What's behind the fall in van registrations?

According to the SMMT, 51,221 vans, pick-ups and 4x4s were registered last month. While that might sound like a healthy number, it’s actually a noticeable drop when compared with the strong March of 2024.

The biggest reason? Weaker business confidence.

With costs rising and uncertainty around government policy (especially around tax changes for double-cab pick-ups), many businesses are choosing to delay vehicle investments. That affects everything from larger fleets to sole traders who might be unsure if now’s the right time to commit.

Here’s a closer look at the numbers:

Why are pick-up sales rising?

There’s one major exception to the downturn: pick-ups.

Sales jumped by 40.6% in March, as businesses rushed to register vehicles ahead of new tax changes coming in April. These changes will treat double-cab pick-ups more like cars, reducing their tax efficiency for business use. That’s caused a short-term spike in demand – especially in sectors like construction, farming, and utilities where these vehicles are vital.

Electric vans: growing, but still lagging behind targets

The market for battery electric vans (BEVs) continues to grow, hitting a record monthly volume in March.

• 4,215 BEVs registered (+40.3% vs March 2024)
• BEVs now hold an 8.3% market share YTD (up from 5.5% last year)

This shows the direction of travel is clear – more businesses are choosing electric. But with the UK government requiring 16% of all vans sold in 2025 to be zero-emission, we’re still only halfway there.

At CPD VanDemand, we work with leading manufacturers like Ford, Maxus, Mercedes-Benz and Renault to supply electric chassis and convert them in-house. We also help customers understand what electric really means for your trade, whether you’re doing local jobs or longer hauls.

Why choosing the right conversion partner matters more than ever

In uncertain times, making the wrong decision with your vehicle can cost you more in the long run. That’s where CPD VanDemand comes in.

Here’s what sets us apart when the market gets tough:

• Stock on the ground
  We hold large volumes of chassis and panel vans across short, medium and long wheelbases – so you’re not waiting months for a vehicle!


• Built in-house 
  From tippers, dropsides, Lutons and panel vans to racking, ply-lining and electric fit-outs, all conversions are completed by our expert team.


• Fast-track replacements
  If your van is stolen, written off, or needs upgrading, we offer finance options and rapid replacement builds to keep your business moving.


• Help with financing and smart investments
  We know that committing to a new vehicle can feel daunting – especially in a quieter market. That’s why we offer tailored finance packages to help spread the cost and make sure you’re investing in the right vehicle for your business. Whether you're adding to your fleet or replacing a single vehicle, we’ll guide you through the best-value options and match you with a van that’s built to earn its keep.


• Real-time build tracking
  Our web based and secure production portal – so you can see where your vehicle is in the build process.


• Manufacturer approved
  We’re proud to  hold Type Approval for conversions across all major brands.


• Conversions that work for your trade
  We know the needs of electricians, joiners, repair teams, landscape contractors, highways crews and more. Our builds are designed to support your business, not slow it down.

“Even in a slower market, businesses still need reliable, fit-for-purpose vehicles. What we’re seeing is a shift in how people buy – they want faster turnaround, more flexibility, and the reassurance that what they’re buying is going to last. That’s exactly where we come in. CPD VanDemand is built around speed, service and long-term value.”

– Tom Pearson, Commercial Director, CPD

In conclusion, yes, the van market has slowed. But with changing tax rules, tight lead times, and increasing pressure to go electric, the right vehicle – tailored to your business – can give you an edge when others are holding back.

CPD VanDemand is here to help you make the right move, at the right time.

Want to talk it through? Get in touch with the team

Source: SMMT – March 2025 LCV Data