It was reported by The Times citing industry sources, according to Reuters.

Tesla has been forced to offer discounts of up to 40% to car leasing companies to shift more units, the report said.

Stay up to date with the latest news, trends and innovations that are driving the global automotive industry with the Reuters Auto File newsletter. Sign up here.

The discounts are also due to the lack of storage space for Tesla vehicles in the UK, the report said.

Reuters could not immediately confirm the report. Tesla did not immediately respond to a Reuters request for comment.

Read more: Chinese company to set up electric vehicle plant in Pakistan

Tesla s July sales in the UK fell about 60% to 987 units in July, according to the latest data from the Society of Motor Manufacturers and Traders (SMMT).

British new car registrations overall fell about 5% year-on-year in July, according to the SMMT.

Battery electric vehicles are now projected to account for 23.8% of new registrations in 2025, slightly up from SMMT s previous forecast of 23.5%.