While Donald Trump’s administration ensures that its citizens do not feel pressured to buy electric vehicles (EVs), the UK plans to introduce incentives to make it easier for people to purchase them.
According to reports, the UK government is preparing to sponsor a subsidy package that it hopes will boost sales of EVs. This is the first major initiative of its kind since the plug-in grant, which provides a discount on the purchase price of new, eligible low-emission vehicles such as vans and motorcycles, ended in 2022.
Labour government to phase out polluting cars
The British Labour government has made a new attempt to phase out the sale of polluting cars.
On Sunday, Transport Minister Heidi Alexander confirmed plans to announce new measures they expect to increase electric vehicle sales this week. However, she declined to directly address reports that the incentives would include up to £700 million in new subsidies and grants for buyers to help offset the cost.
Part of the plans include investing £63 million in the construction of home charging points and logistics warehouses in the UK and allocating funds for charging points in residences without driveways. Its department has also outlined a £2.5 billion programme to support car manufacturers as they transition to producing zero-emission vehicles.
The government hopes that these investments will encourage more British consumers to buy electric vehicles, even though they are on average more than twice as expensive as fuel-powered vehicles.
The UK is already the largest EV market in Europe, but the government has ambitious plans to phase out sales of petrol and diesel-powered cars by 2030 and hybrids by 2035.
However, according to sales statistics, car manufacturers are struggling to meet the government’s targets to increase the share of electric vehicles sold ahead of these deadlines, which they blame on consumer concerns about the high cost of electric vehicles and the lack of charging stations.
Companies set to benefit from UK government plans
Several companies are set to benefit from the UK government’s plans as they actively roll out EV products and infrastructure in the UK.
Wallbox and Viliev have teamed up to bring Wallbox DC Fast Charging Solutions to the UK, while Schneider Electric is supporting the scalable deployment of EV charging infrastructure with the launch of Canalis for EV.
Their Canalis for EV has been described as a bus system designed for flexible and future-proof EV charging, offering quick and slight installation.
Totalen and SSE have also reportedly formed a joint venture, named Source, to deploy a significant number of high-power charging points across the UK and Ireland to meet the needs of electric vehicle owners and fleets.
The UK is getting more into EV companies, which isn’t surprising given recent events. Reports claim that Xpeng, a Chinese electric vehicle manufacturer, is moving forward with its plans to enter the UK market, with the G6 set to be its first model to hit the market.
A £1 billion battery plant is also being built in Sunderland by AESC, a partner of Nissan, which is expected to significantly increase EV battery production capacity in the UK.
