9:00 am, December 1, 2024
The motor trade has always been consistent, and by that, I mean consistently changing!
The clocks have gone back, the nights are drawing in, autumn is in full flow with orange leaves littering the roads, and the cold winter months are looming just over the horizon.
The weather isn’t the only thing changing either; the budget was announced by the new Chancellor of the new Labour government last month, which contained some very important points that the motor trade needs to pay serious attention to.
Car Dealer Magazine and only a handful of the mainstream media reported on this: buried in the pages of the new budget were details on the 2030 ban on new petrol and diesel cars.
I’ve commented on the 2030/2035 new petrol and diesel sales ban (depending on which month or government) a few times over the last few years, and I’ve always thought that the motor trade needed much more of a say in its rollout.
Looking at this part of the budget in more detail made me realise that only petrol and diesel cars that are solely fossil fuelled are going to be banned in 2030, with the sale of new hybrids allowed to continue until 2035. While clarity is still needed on whether all hybrids are covered under the reinstated ban, it’s clear that the days of new petrol and diesel cars are now officially numbered.
Whatever the outcome, it’s pretty clear to me now that the motor trade faces a challenging but exciting road ahead. Dealers now have just a few short years to prepare for a market dominated by electric and hybrid vehicles. For many dealers, that will mean adapting their business models, rethinking stock, and considering installing charging stations on their forecourts.
For customers, this change is likely to bring questions and concerns about everything from vehicle range and charging availability to how they can finance these vehicles. I know that dealers will adapt to these changes and will be at the forefront of guiding these conversations, helping customers understand their options.
Here at First Response Finance, we’ve been financing electric cars and even electric motorbikes for several years now. So, while the motor industry may always be changing and challenging, you can count on First Response Finance to support you with your finance customers, no matter what type of vehicle they’re looking to finance.
