European emissions targets are expected to push electric vehicle (EV) sales to 25pc of total car sales in the EU and the UK in 2025, according to the IEA, with a projection for that share to reach 60pc by the end of the decade.
Europe and China are expected to continue to lead the surge in EV sales worldwide, according to an IEA report published on Wednesday that provided an updated outlook on the global EV market. Records have been broken across all major European markets, with EV sales up by 20pc on the year in the first quarter of 2025, although lagging the 35pc increase in China.
Emissions targets are the main driver of increased European sales, outweighing the fact that the cost differential between EVs and conventional internal combustion engine vehicles is higher than in other regions, according to the IEA. Higher fuel costs in Europe have also supported the surge in Europe's EV sales by incentivising the adoption of battery-powered technologies.
But EV sales growth stagnated in many European markets across 2024. The share of EVs in total vehicle sales remained the same or fell in 13 of the 27 EU member states over the course of the year, according to the report. The IEA attributed stagnation in 2024 in major EU markets such as France and Germany to the phasing out or progressive reduction of subsidies that incentivise EV sales.
EV sales grew substantially in the UK, with their market share in 2024 reaching 30pc — up by six percentage points from a year earlier. The IEA highlighted the UK's annually changing targets for emissions as a possible reason for the growth differential with major EU markets, which have fixed five-yearly targets, due to be reassessed in 2025.
The IEA projects European public charging points for light-duty vehicles to reach 2mn by 2030, requiring annual additions of around 210,000 charging points until the end of the decade to reach this target. This would result in 115GW of total public charging capacity across the continent, according to the IEA's projections. Additions across Europe in 2024 totalled 275,000.