Automotive leader calls for VAT cut on electric cars to meet 2030 targets
October 1st, 2024
Lisa Brankin, Managing Director of Ford of Britain, has urged the UK government to reintroduce incentives for electric vehicle (EV) purchases, warning that the country could miss its 2030 targets without them. Brankin said the lack of consumer demand for EVs is a significant barrier to achieving the government’s zero-emission vehicle (ZEV) mandate, which requires carmakers to sell 22% electric cars by 2024, rising to 80% by 2030.
Brankin called for measures like halving VAT on EVs to stimulate demand, pointing out that fleet market incentives have already proven effective, with over 35% demand in that sector. She highlighted the upcoming budget from new Chancellor Rachel Reeves on 30 October as an opportunity for the government to introduce consumer incentives and help ensure the success of the ZEV mandate.