NFDA calls for government rethink on EV strategy

The National Franchised Dealers Association has urged the government to think again after it rejected recommendations from the House of Lords Environment and Climate Change Committee to introduce new measures to revive EV sales.

The Committee’s EV Strategy Report 2024 suggested targeted grants to incentivise the purchase of EVs and reducing the public charging VAT from 20% to the five per cent imposed on domestic chargers.

However, the government dismissed both recommendations, pointing to higher EV sales last year to suggest the electrification of the car parc is continuing at pace.

Sue Robinson, chief executive of the NFDA, said: “It is disappointing to see that the government has largely ignored wide calls from the automotive industry to introduce price incentives for buyers of EVs. The government’s response comes at a time when there are concerns that the EV market is stalling. There is also the matter of private demand which has been languishing behind fleet for several months now.

“The UK has some of the most ambitious climate commitment targets such as the ZEV mandate but offers little in respect of incentives. We urge the government to urgently reconsider the views held in their response and to work with the industry to achieve the best outcomes for dealers and consumers.”