8:12 am, November 2, 2022
EV sales are likely to be negatively impacted by the government’s recent decision to scrap the two-year energy price guarantee for households, new research has found.
Data collected by consumer champion, What Car?, found that out of 1,400 in-market buyers, under a third (30.9 per cent) were searching for an EV.
Furthermore, of those not in the market for an EV 24.4 per cent said their decision was directly influenced by the change of policy from Tory ministers.
The government previously announced a £2,500 price guarantee on average annual energy bills for the next two years but following a series of policy U-turns, the price cap has now only been guaranteed until April 2023.
Some estimates suggest average annual energy bills could exceed £4,300 afterwards.
The U-turn is also having an affect on those who already own an EV, with 17.4 per cent of owners telling What Car they are now looking at a used electric car rather than a new one.
Elsewhere, a further while 14.8 per cent told the firm they are now in the market for a cheaper make or model than they initially intended.
Another 8.3 per cent said the price cap U-turn had impacted their electric vehicle purchase in other ways.
Steve Huntingford, editor, What Car?, said: ‘Our research shows the impact policies like energy price caps can have on electric vehicle uptake.
‘Even with rising energy prices, electric cars can prove very cost efficient to run, and if the industry is to meet its 2035 target to end the sale of petrol and diesel cars, electric vehicles must remain attractive and affordable.’
