Mixed government messages are likely impacting fleet electric car adoption, new research from Europcar Mobility Group UK finds.

The latest electric vehicle barometer from the mobility specialist shows that concerns around the cost of purchase, maintenance and finance options for EVs rose from 36.7% in Q4 2025 to 41% in Q1 2026; up by more than 4 percentage points.

With the Government’s proposal to introduce a pay-per-mile tax for electric vehicles announced in the Autumn Budget at the end of November, this could be a factor in causing businesses to pause plans for electric vehicle adoption. A lack of understanding around maintenance costs could also be a factor.

Tom Middleditch, head of B2B marketing at Europcar, said the data shows that financial considerations and confidence in EV technology continue to shape purchasing decisions and fleet scale-up.

“With mixed messages from government over the last few months regarding taxes on EVs, and the increase in BiK tax from April, it seems that cost is becoming a bigger factor in holding business buyers back. The uncertainty over the detail of a tax on mileage of electric vehicles and no clarity on timing is undoubtedly creating a question in people’s minds. What’s needed right now is a clear direction so that businesses that work on three- to five-year fleet cycles can plan ahead effectively.”

Charging infrastructure is the other big issue still influencing business adoption of EVs.  The latest Europcar data shows an increase, albeit small, in concerns about infrastructure for Q1 2026 compared to the last quarter of 2025.

Charging concerns held back 29.5% of businesses in early 2026, up from 28.6% at the end of 2025.

“Even though the fuel crisis may well be encouraging more businesses to consider electric, the increasing concerns over charging and affordability could still have a major impact on EV adoption and the journey to net-zero,” said Middleditch.

Conversely, businesses are less concerned about the choice and availability of EVs, falling from 15.9% to 13.5%.

And resistance from the employer or employee also fell, from 13% to 10.8%.

“There is a more positive picture when it comes to knowledge and understanding around owning and driving an EV,” elaborated Middleditch. “In Q1, fewer businesses saw this as a barrier to switching to electric. We believe that the growth we have seen in EV rentals is contributing to this increased confidence with a 139% year-on-year increase in Q1 2026.

“EV rental enables businesses to get an accurate picture of how electric vehicles can fit into their fleet and their operations without having to make any long-term commitments. We are committed to helping drivers and businesses make more informed decisions, based on first-hand experience instead of concerns which stem from lack of real-world experience. The growing range of rental options and vehicle choices available from Europcar means we have an EV to suit every journey, and a detailed handover helps drivers take to the road happy and confident.”

Consumer EV concerns on the rise

Europcar also looked at EV concerns among private drivers to assess the current landscape.

For this market segment, the data from the Europcar EV barometer shows a renewed rise in perceived barriers to EV adoption in Q1 2026 compared to Q4 2025, despite the fuel crisis. The figures suggest confidence remains fragile despite the maturing EV market and steadily increasing adoption.

Here again, the Government’s pay-per-mile tax could be a factor in causing private motorists to pause plans for electric vehicle adoption. A lack of understanding around maintenance costs could also be a factor.

Key findings include that 42.83% of consumers were held back from switching to an EV by a perceived lack of charging infrastructure in Q1 2026; up from 37.06% in Q4 202.

Cost concerns including purchase, maintenance and finance options held back 59.91% in Q1 2026; up from 53.90% in the previous quarter.

Vehicle choice in terms of model range and availability held back 14.25%; up slightly from 13.79%

“The latest quarterly results from the Europcar EV Barometer show increases in all barriers for consumers who may consider switching to an electric vehicle,” commented Tom Middleditch. “Mixed messages from government, including the proposed pay-per-mile tax for EVs could well be creating confusion.

“Our latest data shows that costs and infrastructure limitations are having the most significant impact on adoption. Availability of different vehicle models and lack of EV knowledge are also playing a part in slowing adoption, showing slight increases between the previous two quarters.

“With the end of sales for new petrol and diesel vehicles fast approaching, a rising number of low and zero emissions zones around cities and ambitious zero emissions targets for the UK, this increase is a concern and highlights the need for greater consumer education and investment in charging infrastructure as well as clarity from government on future EV taxes.”

Middleditch added: “In our experience, when a customer drives an EV for the first time they find most of their previous concerns are quickly alleviated – most concerns stem from simple lack of first-hand experience. We believe drivers need more information and real-world experience of what it is like to own and drive an electric vehicle, and that is where Europcar is playing a key role – both with accessible vehicle rental and our EV Guide and Knowledge Hub.”