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Brexit No-Deal could threaten the UK electric vehicle market reports FT

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FT has published a report by motoring correspondent Peter Campbell to the effect that electric vehicles (EVs) sold in the UK will no longer count towards the manufacturers EU carbon dioxide reduction targets.
Brexit No-Deal could threaten the UK electric vehicle market reports FT

This in turn means that manufacturers will have less incentive to sell EVs in Britain, according to Government documents discussing the impacts of a no-deal exit from the EU. The revelation comes at a time when manufacturers are preparing to launch a series of EV models on the market, while a ‘super credits’ system will offset conventional vehicles, the aim being to encourage a rise in the sale of electric cars.  

If EVs sold in Britain are not counted as part of EU targets, suggest the documents, this could force manufacturers to shift sales to other European countries.

 

Automotive expert at Aston University, Professor David Bailey told the FT that the move could “really throw a spanner in the works of the electric car market in the UK.  If Britain’s cars don’t count towards EU targets, companies will be incentivised to sell them elsewhere. This is definitely an issue, and comes at a time of huge uncertainty anyway about targets for electric sales.

However, a spokesperson for the Department for Transport commented that UK commitments to EVs are not dependent on the membership of the EU and that official figures show that consumer demand for low-emission vehicles is increasing month on month.

But Ian Henry, an independent analyst for the Society of Motor Manufacturers and Traders (SMMT) said that it depends on what the penalties are. If the penalties are larger in the EU, manufacturers may focus on selling EVs in the EU and not in the UK in order to meet their targets.

Brexit No-Deal could threaten the UK EV market, according to FT

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FT

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