A House of Lords committee released a report on Tuesday, February 6, warning of serious challenges in the adoption of electric vehicles (EVs) due to higher purchasing costs, inadequate charging infrastructure, and disinformation.
The Environment and Climate Change Committee is calling on the government to implement various policies to promote the transition to electric power in its report titled “EV strategy: rapid recharge needed.”
This includes addressing the upfront cost disparity between EVs and petrol/diesel vehicles and considering targeted subsidies to encourage the purchase of new electric vehicles.
The committee also urges the government to explore ways to boost the sale of used electric cars, such as by establishing a “battery health standard.”
Additionally, the committee recommends changes to road taxes, reduction of the 20% VAT rate applied to public charging to 5%, and promoting accurate and understandable information to consumers.
During the inquiry, the government expressed concerns about false information and a “concerted campaign of misinformation” surrounding electric vehicles. The committee urges ministries to be proactive in presenting a positive image of the EV transition and providing reliable information.
The committee emphasizes the need for the government to create a communication plan in collaboration with business partners and consumer advocacy groups to deliver accurate, reliable, and balanced information.
Baroness Parminter, chair of the inquiry, stressed the urgency of addressing the challenges to promote the adoption of EVs and achieve better air quality while combating climate change.
Among its recommendations, the committee advocates for the accelerated rollout of the UK’s charging infrastructure and suggests extending Local Electric Vehicle Infrastructure (LEVI) funding, consulting on offering a ‘right to charge’ for tenants in multi-occupancy buildings, and reviewing planning regulations.
The report also highlights the significant impact of lower benefit-in-kind (BIK) tax rates on EV adoption and calls for the gradual reduction of these rates. Furthermore, the extension of salary sacrifice programs is proposed to encourage more employers to participate.
Stakeholders, including the Electric Vehicle Association (EVA) England and FairCharge founder Quentin Willson, have expressed support for the committee’s recommendations and emphasized the need for government action to address existing challenges in the EV industry.