The UK government is set to reduce its electric car sales targets after trade unions and manufacturers expressed concern.
The motoring experts at LeaseLoco are also calling on the government to bring back better incentives to encourage drivers to make the switch to electric cars.
Under the government’s current goal, 80% of all new cars sold in the UK need to be EVs by 2030.
However, there are now talks of lowering this to between 50% and 70% after carmakers and trade unions say the current target is too ambitious, will cost the industry too much and put jobs at risk.
Companies who fail to meet the target will be fined under the ZEV mandate around £12,000 per car and this financial strain is also likely to put jobs at risk.
John Wilmot, CEO of car leasing company LeaseLoco.com says that the government needs to think about how they can encourage drivers to switch from petrol and diesel to electric.
LeaseLoco have shared that EVs, hybrids and PHEVs have accounted for 65% of their enquiries so far this year, with petrol and diesel enquiries at just 35%.
But despite this, John warns buying decisions can change later on if customers feel as though electric vehicles are still the more expensive option.
He said: “Car manufacturers are under a great deal of pressure with the current target and reviewing it is a great idea. It will help them financially and reduce the risk of putting people’s jobs on the line.
“While reviewing the goal is a good idea for now, the government should also be looking at what they can do to entice drivers to make the switch.
“Over the years many of the original incentives of owning an EV have been stripped away. Changes like increasing insurance premiums, the introduction of VED road tax and the increase in cost of home charging are putting people off.
“The recent announcement of a pay-per-mile tax is also sending mixed messages. We want people to switch to electric cars but they’re dealing with limited charging infrastructure and other rising costs which can leave them questioning whether it’s even worth it.
“It would be great to see the government bring back some incentives for EV ownership. Investing more in charging infrastructure and making the overall cost of running an EV more predictable and affordable will make more drivers feel comfortable about making the switch.”
LeaseLoco is the UK’s biggest car lease comparison website, making it super quick and easy for drivers to filter and compare millions of car lease deals from the country’s leading car leasing companies to best suit their needs.
