The British auto industry is urging the government to provide tax breaks or other incentives to encourage consumers to purchase electric vehicles (EVs). With concerns over a decline in consumer enthusiasm, industry leaders emphasize the need for additional support to meet the government’s goal of banning the sale of new petrol and diesel cars by 2030. The reduction in incentives for EV buyers comes at a time when motorists are becoming increasingly worried about the cost of EVs and the availability of charging infrastructure.
While registrations of new EVs in Britain have increased by almost 40% in the past year, a recent survey revealed that only 9% of respondents planned to purchase an EV as their next car. The high cost of EVs, rising energy prices, limited public charging infrastructure, range anxiety, and opposition to the 2030 ban on new petrol cars were cited as the main obstacles to EV adoption.
The industry acknowledges that the upfront cost of EVs may be higher compared to traditional petrol or diesel cars. However, they argue that the lower operating costs and reduced fuel expenses over the vehicle’s lifespan make EVs a compelling choice. Automakers are working to communicate this message effectively to consumers and improve the overall EV adoption process.
In addition to incentives, industry leaders stress the importance of developing a well-planned and integrated charging infrastructure throughout the country. Currently, charging infrastructure is concentrated in London and its surrounding areas, limiting access for consumers in other regions. The industry calls for standardized and interoperable charging systems that are reliable and accessible nationwide.
The auto industry welcomes the government’s support for the battery manufacturing sector but seeks clarity regarding regulations for the upcoming transition from petrol to electric vehicles. Furthermore, industry leaders express concerns about potential trade disputes, particularly with regards to punitive tariffs and rules of origin on cross-Channel trade in EVs. The industry emphasizes the importance of open markets and avoiding trade wars that could hinder growth and market participation.
Overall, the British auto industry highlights the significance of incentivizing EV adoption, improving charging infrastructure, and providing regulatory clarity to ensure a smooth transition to electric vehicles by 2030. By doing so, the government can support the industry’s efforts to reach net-zero emissions and enable motorists to travel in a manner that aligns with environmental goals.
– Bloomberg: https://www.bloomberg.com/news/articles/2023-09-19/auto-reboot-urged-to-bolster-slide-in-uk-s-ev-appeal
– electrifying.com and AA survey: https://www.electrifying.com/blog/2023/9/4/electric-car-truths-about-high-prices-poor-planning-and-lack-of-infrastructure
– Hans van Leeuwen, The Sydney Morning Herald:https://www.smh.com.au/business/companies/car-industry-tells-uk-government-sort-out-ev-market-support-20230915-p5y1j2.html