Car manufacturers criticise government scrapping of plug-in car grant

'The decision to scrap the plug-in car grant sends the wrong message to motorists' (Credit: Shutterstock)
The government’s decision to scrap the plug-in car grant “sends the wrong message to motorists” during a critical time for the growing market, according to the Society of Motor Manufacturers and Traders (SMMT).
The government’s decision to scrap the plug-in car grant “sends the wrong message to motorists” during a critical time for the growing market, according to the Society of Motor Manufacturers and Traders (SMMT).
The grant ended today (14 June) having supported the sale of nearly half a million electric cars – “successfully kickstarting the UK’s electric car revolution”, according to a government announcement. Battery and hybrid electric vehicles (EVs) now make up more than half of all new cars sold, and one in six new cars are fully electric.
“To continue the government’s drive towards net zero and ensure effective use of taxpayer funds, £300m in grant funding will now be refocused towards extending plug-in grants to boost sales of plug-in taxis, motorcycles, vans and trucks and wheelchair accessible vehicles, as announced in the autumn statement,” an announcement said.
Funding will also be allocated towards expanding the public chargepoint network, targeting ‘range anxiety’ and aiming to ensure zero-emission transport is accessible for all drivers.
The move was criticised by industry, however. SMMT chief executive Mike Hawes said: “The decision to scrap the plug-in car grant sends the wrong message to motorists and to an industry which remains committed to government’s net zero ambition.
“Whilst we welcome government’s continued support for new electric van, taxi and adapted vehicle buyers, we are now the only major European market to have zero upfront purchase incentives for EV car buyers, yet the most ambitious plans for uptake.
“With the sector not yet in recovery, and all manufacturers about to be mandated to sell significantly more EVs than current demand indicates, this decision comes at the worst possible time. If we are to have any chance of hitting targets, government must use these savings and compel massive investment in the charging network, at rapid pace and at a scale beyond anything so far announced.”
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Content published by Professional Engineering does not necessarily represent the views of the Institution of Mechanical Engineers.
“To continue the government’s drive towards net zero and ensure effective use of taxpayer funds, £300m in grant funding will now be refocused towards extending plug-in grants to boost sales of plug-in taxis, motorcycles, vans and trucks and wheelchair accessible vehicles, as announced in the autumn statement,” an announcement said.
Funding will also be allocated towards expanding the public chargepoint network, targeting ‘range anxiety’ and aiming to ensure zero-emission transport is accessible for all drivers.
The move was criticised by industry, however. SMMT chief executive Mike Hawes said: “The decision to scrap the plug-in car grant sends the wrong message to motorists and to an industry which remains committed to government’s net zero ambition.
“Whilst we welcome government’s continued support for new electric van, taxi and adapted vehicle buyers, we are now the only major European market to have zero upfront purchase incentives for EV car buyers, yet the most ambitious plans for uptake.
“With the sector not yet in recovery, and all manufacturers about to be mandated to sell significantly more EVs than current demand indicates, this decision comes at the worst possible time. If we are to have any chance of hitting targets, government must use these savings and compel massive investment in the charging network, at rapid pace and at a scale beyond anything so far announced.”
Get to grips with the future factory at Advanced Manufacturing (18-22 July), part of the Engineering Futures webinar series. Register for FREE today.
Content published by Professional Engineering does not necessarily represent the views of the Institution of Mechanical Engineers.
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