Used EV grants and loans key to driving demand, dealers tell new government

By / 1 month ago / UK News / No Comments

Grants or loans would be a key way for the new government to spur buyer demand for used EVs, according to dealers.

Dealers think some form of subsidy is required for consumers to be comfortable going electric

Startline Motor Finance’s August Used Car Tracker research shows 56% of dealers would back such a move – followed by 50% who want cheaper electricity for EV drivers and 45% who want to see massively increased on-street charging to make EVs more viable.

Almost as popular at 42% are tariffs or other measures on Chinese EVs to protect the existing car market, while the same percentage also wants to see more training options to improve the availability of skilled people in the sector.

Just over a third (35%) would like to see a government-approved and -administered used battery EV health check, 31% an improvement in the economy to inspire consumer confidence and 23% lower business rates.

Paul Burgess, CEO at Startline Motor Finance, pointed out two notable areas; firstly that the list of measures is dominated by the issue of electrification, which is an indication of the deep concerns dealers have over EVs.

The fact that direct help with buying an electric car, whether that via a grant or cheap loan, also shows that dealers think some form of subsidy is required for consumers to be comfortable going electric.

Burgess added that it was interesting that only 35% of dealers wanted some form of government-backed battery health check – despite this measure actually being part of the official Labour manifesto.

“We’ve asked this question of consumers this month and almost nine out of 10 say having a detailed picture of a used EV’s battery health would be an important part of any purchase. It is also a commitment in the Labour manifesto, so is very likely to happen.

“It’s also noteworthy that training for the motor industry is so high up the list. Getting hold of people with the right skills remains a very real issue for dealers, and they would clearly like to see the new government help solve this problem.”

The Startline Used Car Tracker is compiled monthly for Startline Motor Finance by APD Global Research. The August survey saw 321 consumers and 62 dealers questioned.

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Natalie Middleton

Natalie has worked as a fleet journalist for over 20 years, previously as assistant editor on the former Company Car magazine before joining Fleet World in 2006. Prior to this, she worked on a range of B2B titles, including Insurance Age and Insurance Day. Natalie edits all the Fleet World websites and newsletters, and loves to hear about any latest industry news - or gossip.