Evolving EV Sales Targets in the UK: How Car Subscriptions Lighten the Load
Evolving EV Sales Targets in the UK: How Car Subscriptions Lighten the Load
The movement to ban all new diesel and petrol-powered cars and vans from sale has been postponed in the UK until 2025, bringing the UK into line with the EU. From 2035, the only new cars and vans that can be sold will be pure electric.
This delay signifies an important transition period for both manufacturers and consumers to adapt to the new automotive landscape. Amidst this delay, the government’s commitment to sustainable mobility is solidified via the introduction of mandatory electric vehicle (EV) sales targets.
These sales targets serve to embrace eco-friendly transport alternatives and reduce carbon emissions. We’re certainly making a move in the right direction, with the latest statistics on the total number of electric cars on the world’s roads sitting at 26 million.
However, given the challenges facing car manufacturers and buyers, could there be an easier option?
Continued commitment to EV sales targets
The UK government's mandatory EV sales targets set minimum annual targets of 22% of new cars sold in 2024 to be zero emission.
This will rise each year up to 100% by 2035. Some car manufacturers look ready to reach 100% sooner, including BMW - which stated that its brand will be all-electric five years sooner than the deadline.
Mercedes, Rolls-Royce, and Volvo have also committed to an all-electric fleet offering by 2030.
The government's mandatory EV sales target pledge is not a mere regulatory obligation; it reflects dedicated planning towards transitioning the UK to a dominant electric vehicle market.
The delay offers two benefits:providing certainty for car manufacturers and helping drivers switch to electric. The latter is due to more time for the second-hand EV market to grow and the increased charging structure to be in place.
We’re due to see 43% more public charge points in 2023 compared to 2022 - putting the UK well on schedule for the government’s target of 300,000 charge points by 2030.
Car manufacturers need three important elements to drive this movement forward:
● Strategic planning
● Consumer education
● Innovative technology adoption
Strategic planning involves significant research and development investments and supply chain optimisation. Partnerships with technology firms and renewable energy suppliers will likely play a crucial role in this movement.
To promote EVs, manufacturers must actively engage in consumer education initiatives to forge a positive perception of electric vehicles. Dispelling common myths such as charging issues should be widely addressed to reassure consumers.
Challenges for carmakers
As both traditional and electric vehicles currently coexist, consumers can find it difficult to make informed decisions about adopting electric vehicles. The delay has the potential to cause consumer confusion - another element that might affect their willingness to transition to EVs quickly.
It’s well known that psychological barriers significantly influence consumer decision-making.
Some common concerns about EV adoption include:
● Range anxiety - the fear of running out of battery before reaching a charging station.
● Charging station availability -despite improvements in charging infrastructure.
● Perceived long charging times - the perception is that EV charging times are considerably longer than refuelling at traditional car.
● Low performance compared to traditional cars - concerns about acceleration, speed, and overall driving experience of EVs.
However, there is one consumer concern which dwarfs these:
High initial costs
Electric vehicle costs in the UK are actually higher when compared to traditional fuel-powered vehicles - 35% more expensive, according to 2022 figures.It is only natural when you consider the advanced technology that goes into electric vehicles, such as high-capacity batteries and electric drive trains.Not only do they cost more to make, but they are harder materials to source as well.
Add on top of this the initial charger installation required at your home, which is anywhere between £800 to £1500 upfront.
However, as the demand for EVs continues to increase, these prices should come down, but it may be a while yet, as evidenced by the new 2035 deadline as the market tries to catch up. The UK government has implemented various incentives and grants to help offset these costs, but the average consumer will still find that traditional combustion engine cars will cost quite a bit less in the meantime.
So why not try out a car in the meantime? With a range of electric vehicle options to choose from, including the Tesla Model 3 and Kia e Niro, you can get a car subscription for a fraction of the cost and better understand which vehicle suits your lifestyle. Whilst we slowly move towards a greener future where EVs become more affordable and accessible,a car subscription can help you stay ahead of the curve.
Importance of meeting targets
Meeting sales targets comes with a high price for car manufacturers.
Vehicle makers that fail to achieve the enforced sales targets will be subject to fines. For example,companies will be made to pay the Government £15,000 for every car that doesn't comply. A system of proposed flexibilities and credits for low-volume manufacturers is still to be decided.
Hefty fines act as powerful motivators for the industry, and will certainly encourage car manufacturers to invest in sustainable technologies and consumer outreach strategies.
There’s also the reputational risks to consider. A vehicle maker’s brand image can be negatively affected as a result, which potentially impacts both their market position and customer trust. An increase in the rise of socially conscious consumers could mean that companies face severely negative publicity.
By meeting the sales targets, car manufacturers not only ensure regulatory compliance and avoid fines, but they also secure their positions in an environmentally conscious market. Ultimately setting the scene for a greener, more sustainable automotive future.
The role of car subscriptions
Posing as an innovative consumer alternative, car subscriptions change the way people access vehicles. A car subscription from Drive Fuze offers drivers an affordable, convenient, effortless, and flexible solution.
With Drive Fuze, drivers can enjoy access to a range of EV models without the commitment of long-term ownership. Because servicing and maintenance, insurance, are included within the subscription service, consumers receive a hassle-free and comprehensive experience.
Additionally, drivers can feel the freedom to switch vehicles whenever they want to. If one EV doesn’t feel right, change to another with zero commitment. Drive Fuze’s car subscription offers comforting reassurance to consumers who may be confused by the current automotive climate.
The consumer benefits of car subscriptions are numerous - you avoid the increased upfront costs associated with EVs and save both time and money. The comprehensive and inclusive servicing and maintenance options eliminate any lengthy repair delays and costs.
Drive Fuze’s all-inclusive packages cover insurance, maintenance, and so much more, giving you the freedom to focus on your life instead of worrying about the transition to an electric car.
Government support for electric mobility
A solid combination of financial incentives and research and development initiatives forms the potential for a thriving electric mobility ecosystem in the UK.
The financial incentives are twofold: motivating consumers to more widely adopt electric vehicles and vehicle manufacturers to create more affordable and efficient EVs. Grant and incentive information can be found on the government’s Office for Zero Emission Vehicles website.
Staying abreast of news about EV sales targets is a key consideration for car manufacturers and consumers alike.This approach empowers consumers to make informed vehicle choices - and embrace the sustainability direction that the UK government endorses.
Drive Fuze is a sustainable and innovative solution that goes a long way towards an electric future. With a clear pathway to greener driving, car subscriptions provide not just a convenient and flexible driving experience; they represent a practical, eco-conscious lifestyle.
Choosing a Drive Fuze car subscription helps drivers actively contribute to the UK’s efforts for a sustainable, low-emission future. So - stay informed, make conscious decisions,and work towards adopting the future of driving through innovative solutions like car subscriptions.