11:08 am, October 11, 2023
Car dealers have backed the government’s decision to delay the ban on new petrol and diesel cars with three quarters saying they agree with the move.
Data collected by Auto Trader found that 75 per cent of automotive retailers think Rishi Sunak has made the right call in pushing the ban back to 2035.
The firm found that independent dealers are most in favour of watering down the eco measures, with 85 per cent of respondents agreeing with the delay.
Meanwhile, just a fifth (18 per cent) of franchised dealers said they were in favour of sticking to the original plan.
In response to the announcement, almost a quarter (22 per cent) of franchise retailers said they would stock fewer electric cars in the coming years.
Meanwhile, almost half (48 per cent) of independent retailers who answered the survey said they don’t currently hold electric stock and that the delay made them less likely to do so.
Less than a third (28 per cent) of franchised retailers said they wouldn’t change their approach as a result of the new policy.
Despite dealers being clear that the government had made the right call, more than half (60 per cent) said they weren’t aware that the controversial ZEV mandate will be remaining in place.
That figure increased to over three quarters (77 per cent) when applied only to independent businesses and dropped to 46 per cent in the franchised sector.
The measures will require a certain percentage of the sales of every car manufacturer to be electric, otherwise, firms will be fined.
Next year, the required percentage will be 22 per cent, rising each year to 80 per cent in 2030.
Car makers unable to meet their targets will be fined, with the government proposing a £15,000 penalty for every non-electric car and £18,000 per non-electric van they miss their target by.
Ian Plummer, commercial director of Auto Trader, said: ‘“With the ZEV mandate still firmly in place, the UK’s timetable to electrification remains unchanged, but the delay only serves to add confusion and uncertainty to what is already an industry-wide challenge.
‘More electric vehicles will be entering both the new and used retail market in the coming years, which will significantly shape the forecourts of both franchised and independent retailers.
‘Some retailers may feel this is distant concern but with fuel prices on the rise and infrastructure set to improve, it does feel like only a matter of time before the doubters begin to reconsider.
‘Regardless of what the politicians say, preparing to electrify your business isn’t something you can put off – start now.’
Interest in EVs remains unchanged
From a consumer’s perspective, the delay to the 2030 ban does not appear to have had any impact on the levels of interest in EVs.
Auto Trader found that interest in electric cars remained steady throughout September with the electric share of advert views hovering around 4.3 per cent of the overall market.
In the second-hand market, demand for used EVs remained exceptionally strong, increasing circa 87 per cent year-on-year in September.
However, a separate study of 4,000 in-market buyers found that 37 per cent of motorists still say they’re unlikely to ever buy an electric vehicle, up from 21 per cent when the 2030 ban was originally announced in 2021.
Similarly, those saying they will buy an electric vehicle by 2035 is now at 39 per cent, compared to 49 per cent two years ago.
Only 13 per cent of retailers told Auto Trader that the delay would have no impact on consumer demand.
When it came to customer’s themselves, the study found that 70 per cent of people were unaware that the ban related to the sale of new cars only.
Plummer added: ‘In-market electric car buyers haven’t been perturbed by headline policy changes and that’s not surprising considering offers are available on three quarters of new electric vehicles and that average prices of pre-loved electric cars are down almost a quarter on last year.
‘We know that price is the biggest barrier for most car buyers and our data shows that when the price is right, many people are more than happy to get behind the wheel of an electric car.’
