Electric car grant should be reinstated, says new Renault boss
Car makers are bringing down prices, but UK still won't hit EV sales targets unless Government offers financial incentives, warns Renault MD...
The Government’s Plug-in Car Grant (PiCG) – which was discontinued in June 2022 – should be reinstated to encourage people to buy electric cars, according to new Renault UK boss Adam Wood.
Speaking at a Renault event, Wood pointed out that car makers are doing their bit to encourage electric vehicle (EV) take-up by introducing more and more affordable models. However, he said that Government help is also needed if the UK is to hit its EV targets.
The UK’s Zero Emissions Vehicle (ZEV) Mandate currently states that EVs should make up 28% of each manufacturer’s sales in 2025, with that rising to 80% by 2030. However, last year’s total EV share was just 19.6%, with the majority of that coming from the company car market.
Wood said: “We believe the new Renault 5 [below, which costs from £22,995] can be a catalyst for increasing take-up among retail customers. But more generally, we are simply not seeing the demand curve increase at the rate demanded by the ZEV Mandate.
“Customers are saying a major objection is the upfront purchase price of EVs,” Wood added, “and we need to listen to this perception. We would therefore welcome [Government] measures that help private buyers with costs, such as a grant scheme. We’ve seen before that this works – partly because it’s easy to understand.”
Back in December, business secretary Jonathan Reynolds said that the EV policies he had inherited “clearly aren’t working as envisaged” and announced that he was “fast-tracking a consultation with car makers” around potential changes.
Commenting on this, Wood said it was something Renault was glad to see, but that getting to 80% by 2030 should be a “core principle” of the Government.
Alongside cash incentives, Wood said that the roll out of public chargers needs to be accelerated – especially on-street charging solutions that support those who don’t have off-street parking.
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