The UK’s used EV market has been boosted for fleets, car buyers and dealers with the launch of an independent battery health test, certificate and extended warranties from Altelium.

Altelium’s new test shows the battery’s state of health or remaining capacity, and how that compares to expected degradation for the same type of vehicles

The move is said to mark a UK-first and a pivotal moment for the used battery electric vehicle (BEV) market and the wider transition to clean transport.

The service, available through a digital platform, is the result of work since 2018 to develop an independent way to predict the health and risk of batteries in order to provide extended warranties on them. As the traditional sign of product confidence, extended warranties help drive sales and the absence of them for used BEVs has been a brake on the market.

There are an estimated 2.3 million EVs on the road and many of the first all-electric fleets have started entering the used car market, albeit with much lower values than they would have had a year ago.

While used electric vehicles are starting to rally, that’s on the back of a significant crash that’s seen drops of 30% for some models – forecourt prices for many are now not much higher than for comparable ICE vehicles, despite EVs having a much higher purchase price new.

It’s led to calls for the Government to support the used EV sector, potentially with incentives for buyers. But many have also called for work to close the used EV ‘information gap’, providing comprehensive and useful information on used EV vehicles, including on battery health. Nearly all (96%) of used car buyers have said the latter is a key requirement when assessing a used EV online.

Earlier this year, the UK remarketing sector called for a standard battery check for used EVs to accelerate buyer confidence. Since then, the Government has said it’s exploring plans to make battery state of health (SOH) monitors compulsory on all new electric vehicles. It’s also convened a working group to identify potential barriers and solutions to the take-up of used EVs. Some of the findings have been revealed in the recently published report on Used EV Market: The Key to Unlocking Net Zero report, which was led by the Green Finance Institute (GFI).

Altelium’s new battery health tests mean the opportunity to buy a second-hand BEV will now be an option for the thousands of car buyers who felt the battery range or health couldn’t be trusted, or who wanted the peace of mind of an extended warranty.

Altelium chief executive Ed Grimston

Chief executive Ed Grimston said: “Our independent battery health tests, certificates and warranties break down the barriers to buying BEVs. Battery anxiety inhibits the used EV market and this knocks on to the new EV market. By resolving this anxiety through an independent battery health test and certificate, combined with the peace of mind extended warranties give, we have unblocked this inhibitor to the EV transition.

The test is conducted via Altelium’s proprietary platform which combines data modelling from multiple sources including real-world battery performance to assess the current and future health of the battery being tested.

It shows the battery’s state of health or remaining capacity, and how that compares to expected degradation for the same type of vehicles.

Altelium’s warranty programmes, underwritten with ‘A’-rated insurers through the Lloyd’s of London market, cover battery degradation and electromechanical failure, and provide cover beyond the age or mileage limits of manufacturers’ warranties.

GardX has signed a deal to offer the tests, certificates and warranties service as part of its EVerity innovation programme for dealers.

Ed Grimston added: “Our independent battery health tests, certificates and warranties break down the barriers to buying BEVs. Battery anxiety inhibits the used EV market and this knocks on to the new EV market. By resolving this anxiety through an independent battery health test and certificate, combined with the peace of mind extended warranties give, we have unblocked this inhibitor to the EV transition.”