As fuel prices at the pumps continue to hit new highs, driver interest in going electric continues to soar too. 

Rising fuel prices continue to drive EV interest

A new poll commissioned by The Motor Ombudsman – the ombudsman dedicated to the automotive sector – has shown that nearly half (48%) of UK car owners are concerned about having a pure petrol- or diesel-powered vehicle, therefore making a switch to a battery electric car for their next purchase more likely. 

Of this figure, a quarter of male drivers estimated that they would be purchasing an electric car within two to three months. ‘Generation Z’, i.e. those individuals in the 16 to 24 age category, led the charge in terms of being the fastest to make the swap to electric out of any other age group, with 33% stating that a change could be on the cards within eight to 12 weeks. These drivers were also the most worried about having a car driven solely by an internal combustion engine – 64% cited it as a concern due to the rising fuel prices. 

This week has seen petrol’s average price across the UK continue to rise to record levels despite the wholesale price peaking on 1 June. Petrol yesterday reached 187.51p a litre, having been 185.04p leading into the start of the week and 130.77p a year ago, according to the AA. Compared to this time last year, filling the typical 55-litre car tank has leapt from £71.92 to £103.13. 

Diesel, with wholesale costs that had risen as much as 11p a litre in a fortnight before falling back more than 5p yesterday, now averages 194.17p a litre at the pump. On Sunday, it averaged 190.92p. Twelve months ago, it stood at 133.16p. Filling an average family car now costs £107.69. 

Earlier this week, the Competition and Markets Authority (CMA) confirmed it will carry out an urgent review of the fuel market alongside a longer-term investigation to explore whether the retail fuel market has adversely affected consumer interests.    

The AA has said the CMA needs to “pull up the drains” on pump pricing as competitive behaviour “has gone”. It’s urging the rest of the UK to follow the lead of Northern Ireland, where the Consumer Council’s Fuel Price Checker stimulates competition and has led to drivers there enjoying the lowest fuel prices in the UK. 

But there have also been calls for the Government to make further interventions to help drivers. Currently, following the 5p cut in the Spring Statement, duty stands at 52.95p per litre and the Government also adds 20% VAT on the price of fuel. According to latest data, the Government is now raking around £46 in tax from every full tank.  

Speaking earlier this week, the RAC said: “Other countries across Europe are clearly taking the situation more seriously as many have reduced duty further than we have, while some such as Spain have even worked with the fuel industry to introduce a 20-cent discount on the final forecourt bill.” 

Such surging fuel pricing has seen a spike in electric demand at car leasing comparison site LeaseLoco.  

The firm said on Wednesday that enquiries on its site for EVs were up 167% over the past seven days, while hybrid enquires rose 134%. 

CEO John Wilmot said: “With fuel prices heading towards prohibitively high levels, we are seeing increasing numbers of people looking to lease electric and hybrid vehicles.  

“The Government may have closed the Plug-in Car Grant scheme this week, but we don’t expect this to put the brakes on the momentum shift towards electric, as more car owners decide the time is right to make the switch.”