The Association of Fleet Professionals (AFP) has called for support for the used electric vehicle market in the upcoming Autumn Budget.

The industry body pointed out that the grants for new electric cars introduced this summer have been relatively successful in stimulating retail interest – and said a similar move could play an essential role in the second-hand sector.

Chair Paul Hollick said that values for used EVs have stabilised and that the era of large month-on-month drops appears to be over, but warned that consumer interest is still variable and residual values remain simply too low.

“Some form of support that helps to stimulate buyer enthusiasm – which could be anything from direct grants to interest-free loans – would be very well received by fleets.”

He added that while the Government’s Electric Car Grant scheme for new EVs “has not been perfect”, it appears to be making new electric cars more accessible, both through direct grants and the widespread, substantial discounting prompted by increased competition.

“Really, we’d like to see a corresponding initiative for the used sector,” he stated.

The AFP has also called for other EV measures in the Budget, such as scrapping VED for electric cars and vans.

“The increases for electric cars that took effect from April have added quite heavily to their running costs and created a disincentive, while the introduction of VED for electric vans has been counterproductive in a market that is struggling to find its feet.”

Hollick also asked for more support for kerbside charging.

“It appears a relatively cheap and effective solution for people living in terraced houses or apartments has now been identified in the shape of cable gullies, and there should be a commitment to a much wider implementation than the £25m already allocated.

“There is also a need to encourage more ‘destination’ charging at hotels and other facilities which, according to feedback from our members, is a hole in current network provision that is becoming increasingly apparent over time.”

The AFP also urged Ministers to reintroduce the charging infrastructure grants for businesses.

“Deadlines for the Government’s earlier scheme made it next to impossible for those interested in applying to access the fund – something that caused consternation among fleets – so it is presumably unallocated and still potentially available.”

Finally, Hollick added that an ongoing complaint within the AFP was that potholes remained an issue, often causing damage to company cars and vans.

“This was a problem recognised in the last Budget with an extra £500m allocated but identifying where this money is being spent is difficult because the condition of our roads doesn’t appear to be noticeably improving. We’d like to see more visible progress.”

Hollick suggested that the Chancellor also consider measures from the AFP’s 2024 Tax and Regulation Manifesto, noting that the Government has already implemented some of its proposals.

“They’ve now been in power for just over a year and we do believe this is a government that often listens to fleets and the wider motor industry, taking action such as the recent split level AER rates. However, there is a shortage of money to spend and many of the issues that we’d like to see resolved require both funding and time.”