EV interest declines following sky high prices
Potential buyers’ interest in buying an electric vehicle (EV) is declining as a result of sky high prices, Auto Trader has warned.
In a report published today, the sale platform said the proportion of electric cars browsed on its marketplace had dropped from 26 per cent in late September to 16 per cent last month. Hybrid vehicles, on the other hand, registered a 6 per cent grow – a 9 per cent increase on last year’s figures.
According to Auto Trader’s editorial director Erin Baker, the spiked increase in EVs was mainly temporary, due to the fuel crisis.
“We saw a huge spike at the time, but in reality it was just a blip. When the queues outside the forecourts disappeared, so did the anxiety,” she said.
EVs are on average 37 per cent more expensive than fuel and diesel, while the price gap between hybrid and fuel and diesel is around 6 per cent.
The number of affordable EVs has also dropped from 11 in 2020 to three last year, while 36 fuel and diesel models were available at lower prices.
“Sooner or later we will run out of people who are rich enough to buy electric cars, and the latest data from our marketplace could be an early indication of what’s to come,” Baker added.
“Motorists are feeling the pinch from all directions at the moment, and despite positive environmental intentions rocketing energy prices coupled with a large upfront ticket price of an EV doesn’t bode well for significant uptake of EVs.”
Despite the UK government’s decision to scrap EV incentives altogether, Auto Trader is calling for a package of support for motorists, from VAT exemption to road tax as well as parking incentives.
“It’s a canary in the coal-mine moment and the government needs to take notice if it wants to keep the rate of adoption on track for 2030.”