8:00 am, May 21, 2025
Charging no VAT – or even half the current rate of duty – on electric cars would be one of the best incentives to get more consumers into electric cars.
That’s the opinion of James Taylor, the recently installed managing director of Nissan GB.
Taylor, the former Vauxhall and Stellantis man, has only been in his new role two weeks but was presented to journalists at yesterday’s unveiling of the new electric Nissan Micra.
He explained Nissan will launch four new electric vehicles in the next 24 months – including the funky looking new Micra.
But despite this electric new model offensive, Taylor believes government incentives are still required to boost the market.
He said the current electric market is ‘lagging behind’ and that it would be ‘common sense’ to copy some of the benefits fleet customers get when transitioning to EV for the retail market.
He said: ‘If you put some incentive into that private space — whether it’s half VAT or no VAT – it does two things: One is it lines up with the direction that we want to decarbonise transport.
‘But the other is it creates a disproportionate benefit, that if people feel they’re getting something for nothing, it actually moves more demand.’
Taylor was speaking at the launch of the new Nissan Micra, as well as three other EVs
While he was managing Vauxhall, Taylor was vocal in urging the government ‘to do their bit’ with incentives for EVs.
In November, while in his previous job, he said he didn’t think the plug-in car grant – that initially gave buyers £5,000 off an EV – needed to return, but that some help was needed.
This week he doubled down on that and said he still doesn’t believe the industry needs to return to those levels, but that a carrot for buyers is required.
He said: ‘If you go back to scrappage, it wasn’t a huge amount of money – but it did change everyone’s psyche as to whether they were going to [change their car].
‘If more people drive an electric car, more people eulogise electric cars, they tell people, and it’s like a snowball effect, isn’t it?’
The new Micra will be launched later this year. No pricing has yet been announced, but it will have a range of up to 250 miles with the larger battery option.
The car is based on the same platform as the Renault 5 and built in the same factory. Nissan bosses are hopeful it will drive similar retail demand to its sister car.
