Ever wondered what fuels a 128-year-old company’s continuous growth? The RAC just revealed staggering half-year results, with revenues and profits soaring, and their member base hitting a colossal 15 million! What does this mean for the future of UK driving services?
The RAC, a venerable institution in the United Kingdom’s automotive assistance landscape, has unveiled a period of remarkable financial growth and operational expansion, underscoring its robust market position and strategic success. With revenues and profits soaring, the company confidently strides towards another year of sustained growth, solidifying its commitment to being the nation’s premier provider of driving services.
During the first half of 2025, the breakdown, insurance, and maintenance giant reported an impressive 8% surge in revenues, reaching a substantial £411 million. This significant financial uplift positions the 128-year-old business firmly on track for what is projected to be its fourteenth consecutive year of growth, a testament to its enduring appeal and effective business model within the competitive UK market.
Further demonstrating its fiscal strength, the RAC also recorded a robust 12% increase in group earnings before tax, interest, depreciation, and amortisation (EBITDA), culminating in a healthy £152 million over the same six-month period. These figures reflect not only efficient operations but also a strong demand for its comprehensive suite of services, from roadside assistance (Breakdown Services) to vehicle maintenance and (Motor Insurance) solutions.
Leadership within the RAC expressed considerable optimism regarding the company’s future trajectory. A spokesperson affirmed the business is ‘confident’ about its outlook, not just for the remainder of the current year but also for its long-term strategic ambitions. This forward-looking perspective is bolstered by its consistent performance and deep understanding of evolving consumer needs in the automotive sector.
A key driver of this exceptional performance has been the substantial expansion of its member base. The first half of 2025 saw the RAC warmly welcome an additional 500,000 new breakdown members, alongside a further 10,000 new motor insurance policyholders. This significant influx of new customers highlights the trust and reliance that motorists place in the RAC’s Breakdown Services and high-quality Motor Insurance offerings, indicating a strong Membership Surge.
Operationally, the RAC’s commitment to enhancing driver services was equally evident. Its expanding team of highly skilled mobile mechanics delivered more than double the number of repair and maintenance jobs, directly addressing a critical need for efficient and accessible vehicle upkeep. This operational scaling directly contributes to member satisfaction and reinforces the company’s reputation for reliable automotive care.
Dave Hobday, Chief Executive of the RAC, articulated his enthusiasm for the company’s achievements, stating, ‘2025 is set to be our 14th year of consecutive growth and I am delighted with our strong first-half performance and the continued progress we have made towards our vision to be the UK’s number one for driving services.’ His remarks underscore a strategic vision focused on continuous improvement and market leadership.
Adding another layer of interest to the company’s narrative, Sky News reported in July that the firm’s owners are reportedly exploring options to offload the business through a potential sale or a public stock market float. Such a move could potentially value the iconic RAC at approximately £5 billion, signaling substantial investor confidence in its robust financial growth and future prospects within the UK Economy’s driving services market.
