Cuts to grants 'affecting sales of electric cars in the UK'

14 May 2019

A report published by the European Automobile Manufacturers' Association (EAMA) has suggested that sales of electric cars in the UK are being affected by the government's decision to reduce the grant for buyers of so-called 'green' vehicles.

In the Autumn of 2018, the government made the decision to slash the grant for buyers of electric cars from £4,500 to £3,500. In addition, incentives for plug-in hybrids were abolished.

The EAMA suggested that demand for electric cars in the UK has been 'sluggish'. In addition, the report revealed that EU motorists bought 'twice as many' eco-friendly cars as British drivers in 2018.

When compared to their petrol and diesel counterparts, eco-friendly vehicles often cost more to purchase. However, separate research carried out by the International Council on Clean Transportation (ICCT) revealed that, over a period of four years, electric cars are ultimately cheaper to own and run. 

Commenting on the issue, Mike Hawes, Chief Executive of the Society of Motor Manufacturers and Traders (SMMT), said: 'If the UK is to achieve its ambitious electrification targets, a world-class package of incentives and infrastructure is needed. The recent reduction in plug-in car grant for zero-emission cars and its total removal from plug-in hybrids means the UK's offer has become less competitive.'

Home | Contact us | Accessibility | Disclaimer | GDPR (including Standard Terms of Business) | Help | Site map |

© 2019 BPU Accountants. All rights reserved.

We use cookies on this website, you can find more information about cookies here.


BPU Chartered Accountants is the trading name of BPU Ltd Company number 3723948 registered in Wales. Registered to carry on audit work in the UK and Ireland and regulated for a range of investment business activities by the Institute of Chartered Accountants in England and Wales.

BPU Financial Solutions Ltd is an Appointed Representative of ValidPath Limited which is authorised and regulated by the Financial Conduct Authority. ValidPath Limited is entered on the Financial Services register (www.fca.org.uk/register) under reference 197107.

BPU Accountants, Radnor House, Greenwood Close, Cardiff Gate Business Park, Cardiff CF23 8AA
BPU Accountants, The Counting House, Pound Field, Llantwit Major, Vale of Glamorgan CF61 1DL