EV Demand Slump (Private Buyers)

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    Topic
  • #236675
    Glos Guy
    Participant

      The number of households buying electric vehicles fell sharply last month, new figures show, as industry figures warned of the impact a lack of tax breaks is having on motorists.

      The Society of Motor Manufacturers and Traders (SMMT) revealed private sales of battery-powered vehicles fell by more than 14pc in September, which the trade body said shows the need for greater support for would-be buyers to boost demand.

      Mike Hawes, chief executive of the SMMT, said: “With tougher electric vehicle (EV) targets for manufacturers coming into force next year, we need to accelerate the transition, encouraging all motorists to make the switch.

      This means adding carrots to the stick – creating private purchase incentives aligned with business benefits, equalising on-street charging VAT with off-street domestic rates and mandating charge point rollout in line with how electric vehicle sales are now to be dictated.”

      His demands follow Rishi Sunak’s recent decision to push back the ban on the sale of new petrol and diesel cars to 2035.

       

      I think this further supports the assertion that car manufacturers are going to have to rely on lease operators, such as Motability, to hit their EV targets. Personally, I am strongly opposed to subsidies. I’m a great believer in supply and demand, and if the demand isn’t there prices need to fall to address it. Subsidies almost always result in one thing – profiteering for the industry. It happened with ‘Help to Buy’ in the house building industry (where it is known as ‘Help to Buy Housebuilders Yachts’) and also in the car industry. As we know, when the last lot of EV subsidies were cut, manufacturers simply reduced their selling prices to offset it, meaning that the beneficiaries of the subsidies had been the manufacturers!

    Viewing 25 replies - 1 through 25 (of 30 total)
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    • #236690
      Anonymous

        As my nan used to say

        Theirr is those that can

        An thos that cant

        What you cant buy are petrol cars in a short time

        As wishi washi says you cant buy2n hand petrols afiter 2035

        #236695
        Southamman
        Participant

          I think that we have certain groups pushing the anti ev agenda and have jumped on one month’s data, which can be seasonal, plus amount of private buyers vs lease and company buyers make up the majority of monthly sales.

          #236696
          kezo
          Participant

            As wishi washi says you cant buy2n hand petrols afiter 2035

            Incorrect – You can buy 2nd hand petrol and diesel after 2035 but not new!

            #236700
            Glos Guy
            Participant

              As my nan used to say Theirr is those that can An thos that cant What you cant buy are petrol cars in a short time As wishi washi says you cant buy2n hand petrols afiter 2035

              I don’t know you’ve got that from, as it’s completely incorrect. You can still buy new petrol cars for the next 12 years (and plus in hybrid petrol cars for the next 17 years) and there is no date for the ban of second hand petrol cars – ever.

              #236701
              kezo
              Participant

                I think that we have certain groups pushing the anti ev agenda and have jumped on one month’s data, which can be seasonal, plus amount of private buyers vs lease and company buyers make up the majority of monthly sales.

                The private market over several months accounts for only 7% of EV buyers. Why are people peddaling the anti EV agenda! Has one ever thought the real reason for this is likely down to 2 main criteria’s:

                1 – Apart from the cost of living crisis private buyers can’t afford to buy an EV that suits their needs over an equivulent but cheaper fossil fueled car.

                2 – Ontop of buying an EV that is overpriced, they also need to spend a minimum of £1000 to have a charger fitted, that is suitable for the cheapest electric tariff. Then there are those who live in flats, HA’s, council homes or those with no off street parking who can’t have a charger fitted.

                3 – Out of every Motability user choosing and speccing up an EV, I often wonder if there was no such scheme would they have the money to go out and buy an equivulent vehicle. A good guess is 75+% wouldn’t beable to but, they are still happy to blame some agenda, when actually they are putting themselves in the shoes of the majority of low to middle class who can’t afford them.

                #236704
                Glos Guy
                Participant

                  I think that we have certain groups pushing the anti ev agenda and have jumped on one month’s data, which can be seasonal, plus amount of private buyers vs lease and company buyers make up the majority of monthly sales.

                  Again, incorrect. If you read the article it’s from the SMMT and the whole point of what they are saying is that they are asking for more support to push EVs, so they are very much pro EV, not anti. Your point about seasonality is also incorrect. It’s September this year versus September last year – same month, same season! They are highlighting September as it’s the month the cut off date being moved back was announced. You are correct, however, that the vast majority (93% in fact) of EV sales are to lease / company cars due, of course, to the massively lower company car tax on EVs.

                  #236709
                  Southamman
                  Participant

                    To quote the SMMT report:

                    Zero emission vehicle demand continues to grow, but industry calls for private motorist support as consumer uptake of battery electric cars declines

                    And

                    Electrified vehicle uptake continued to grow in the month, with plug-in hybrid vehicles (PHEVs) up 50.9% to take a 6.8% market share and hybrid electric vehicles (HEVs) up 30.7% to account for 13.9% of all registrations. Battery electric vehicles (BEVs), meanwhile, recorded their 41st consecutive month of growth – with 45,323 drivers making the switch, an 18.9% uplift. Given this growth was less than the overall recorded by the market, however, BEV market share slipped back slightly to 16.6% from 16.9% a year ago.

                    #236711
                    Glos Guy
                    Participant

                      To quote the SMMT report: Zero emission vehicle demand continues to grow, but industry calls for private motorist support as consumer uptake of battery electric cars declines And Electrified vehicle uptake continued to grow in the month, with plug-in hybrid vehicles (PHEVs) up 50.9% to take a 6.8% market share and hybrid electric vehicles (HEVs) up 30.7% to account for 13.9% of all registrations. Battery electric vehicles (BEVs), meanwhile, recorded their 41st consecutive month of growth – with 45,323 drivers making the switch, an 18.9% uplift. Given this growth was less than the overall recorded by the market, however, BEV market share slipped back slightly to 16.6% from 16.9% a year ago.

                      Nobody is saying that EVs in total aren’t growing in number. Of course they are. The article is solely about sales of EVs to private buyers.

                      #236714
                      Marc
                      Participant

                        I think the problem is BEV’s are not selling to private buyers in anywhere near the numbers needed. The company car tax on a BEV was zero a couple of years back, there is some tax now but it is very low. I had a company car until I retired 18 months ago, Toyota Corolla GR Sport estate 1800 hybrid, I was sad to see it go when I retired. Just after I left, the company car scheme was changed, employees can now only have a BEV or a plug in hybrid, you can’t have the Corolla anymore, and I think this is getting more common with other employers, so many company car drivers don’t have the option of an ICE.

                        Some of it I’m sure is some companies like to virtue signal how great they are or it could be they are afraid of being cancelled by the mob.

                        Daughters motability car Vauxhall Grandland 1.5 diesel automatic Ultimate.
                        My car SEAT Ibiza SE Tec 1.2 petrol TSI 2017.

                        #236720
                        Andy
                        Participant

                          Great news for people on Motability if they want to move to EV, I expect to see the scheme flooded with some excellent EV’s over the next few years, whilst petrol / diesel choices get ever smaller.
                          It’s already happening.

                          #236721
                          MFillingham
                          Participant

                            Fleet leases up considerably but private purchases are down.  Maybe this reflects the impact of the cost of living or maybe the cost of public charging.

                            While it is acceptable to charge 75p+ per kW for a rapid charge and even 50p+ for destination charging, those forced to charge away from home will stay clear of BEVs.

                            Tax incentives help commercial users but there’s nothing to encourage private buyers.

                            I'm Autistic, if I say something you find offensive, please let me know, I can guarantee it was unintentional.
                            I'll try to give my honest opinion but am always open to learning.

                            Mark

                            #236746
                            kezo
                            Participant

                              There are no longer any government incentives to help private buyers meet the increased cost of buying an EV.

                              My cousin lives in the Netherlands and has done for many years. There are incentives for private customers to lease or buy an EV. She had a Opel Mikka electric last year to ge her to and from hospital where she works and has said government incentives made it worthwhile. Untill the UK does something similar the private market will continue to suffer.

                              #236749
                              Avatar photoPOPS
                              Moderator

                                A swift increase in the number of ‘Ultra fast chargers’ and more EV’s designed to be compatible with 350kw charging will make a big difference. If drivers can freely access and charge in under twenty minutes when required, range anxiety will disappear.

                                A UK wide pricing policy also needs to be agreed and enforced. EV drivers do not want to be randomly overcharged.

                                #236756
                                Avatar photoMenorca Mike
                                Participant

                                  It’s great news they will get rid of them on motability at great advance payment ie Toyota BX4 just £995 on now but too big body size for me ! I say be even lower in January

                                  #236758
                                  kezo
                                  Participant

                                    A swift increase in the number of ‘Ultra fast chargers’ and more EV’s designed to be compatible with 350kw charging will make a big difference. If drivers can freely access and charge in under twenty minutes when required, range anxiety will disappear. A UK wide pricing policy also needs to be agreed and enforced. EV drivers do not want to be randomly overcharged.

                                    How did you find the ioniq 5?

                                    #236759
                                    Avatar photoPOPS
                                    Moderator

                                      I posted my experience on “Thoughts on V2L and Ioniq 5 this morning kezo. Cheers.

                                      #236768
                                      Avatar photoMike 700
                                      Participant

                                        Insightful article!

                                         

                                        20 September 2023
                                        Andrew Miller, chief executive of Motability Operations, used his first keynote speech today to show how the lived experience of 700,00 disabled customers should be used in making a switch to electric vehicles work for everyone.

                                        Addressing an audience of senior industry leaders and government representatives at the British Vehicle Rental & Leasing Association’s (BVLRA) Fleets in Charge conference, Miller highlighted the company’s investment and innovation to transition the UK’s largest fleet to electric as it tackles the challenges of accessibility, availability and affordability.

                                        Motability Operations is the commercial company that runs the Motability Scheme, leasing cars, powered wheelchairs and scooters to help disabled people and their families access independent mobility.

                                        As the government’s ban on the sale of all new petrol and diesel cars approaches, Miller spoke about how Motability Operations had already moved more than 34,000 people into EVs and currently buys more than 7% of all new electric vehicles in the UK, but explained there was so much more to do to.  He described how the organisation’s unique customer base gives crucial insight:

                                        “Over our entire customer base, not just those in EVs, nearly half live on less than £20,000 a year, and only about half have off-street parking,” said Miller.
                                        “When we asked our customers recently, 57% gave the lack of public charge points as a reason for not switching to electric, and of those 34,000 who are in EVs already, nine out of ten said their experience of charging publicly was poor.”

                                        Miller explained how this insight should be used to ensure a truly inclusive transition that leaves no one behind, and how the company is focussed on helping its customers overcome barriers.

                                        Outlining how the company’s operating model works, reinvesting every penny of profit back into the scheme, Miller revealed that £300m had been set aside “to make EVs more affordable and accessible … we’ve currently spent close to half of this with more to come.” He also outlined over £13m of investment in installing more than 25,000 home chargers for customers.

                                        But the game changer for Miller and for all of the Motability Scheme’s 700,000 customers, is public charging. Challenges such as charging points at unsuitable heights for wheelchair users, heavy charging cables, lack of space to park and the height of kerbs all put barriers in the way. Range anxiety is a real concern and it’s made even more so when public infrastructure isn’t accessible.

                                        Miller talked about the innovative pilots the company is running, such as an app that collects real time, user generated reviews of public chargers, and a card that consolidates different providers and payment methods. Another pilot is taking place as part of Europe’s biggest trial of vehicle-to-home technology that uses a car’s battery to power a home, or sells energy back to the grid. “Our job is to find solutions,” said Miller.

                                        Wrapping up his speech, Miller touched on the 33,000 disabled people who rely on wheelchair accessible vehicles (WAVs) and for whom there is currently no electric design solution. Motability Operations is working with industry to solve the issue, as Miller explained, “it is too important to get wrong.”

                                        “We are acutely aware of our responsibility with the life-changing Motability Scheme and the need to ensure its protection and sustainability for generations to come,” Miller concluded. “The switch to EVs is probably the most significant shift we’ve ever seen.

                                        “Almost everyone will temporarily or permanently experience disability at some point in their life. Everyone will benefit from keeping accessibility at the heart of the EV transition

                                        #236770
                                        kezo
                                        Participant

                                          Outlining how the company’s operating model works, reinvesting every penny of profit back into the scheme, Miller revealed that £300m had been set aside “to make EVs more affordable and accessible … we’ve currently spent close to half of this with more to come.” He also outlined over £13m of investment in installing more than 25,000 home chargers for customers.

                                          That statement alone makes me want to shuv it up his @rse.

                                          At least I now know why there isn’t such a choice away from EV’s and where future profits are going!

                                           

                                          #236771
                                          Avatar photoMike 700
                                          Participant

                                            Exactly!

                                            #236773
                                            Ele
                                            Participant

                                              Some great points raised and answered on this forum

                                              This is why I seek my own advice from here when needed

                                              Very knowledgeable folk on here

                                               

                                              #236778
                                              Gee

                                                With around a third of UK households unable to charge an EV using their household electricity supply that pretty much excludes millions of folks from even considering an EV as a viable alternative to an ICE vehicle.

                                                Take London as an example:

                                                According to the Office of National Statistics 55.9% of dwellings in London are flats, maisonettes or apartments. And with more flats being built than houses i’d suggest the future doesn’t look promising for manufacturers trying to mass sell EV’s.

                                                #236783
                                                joss
                                                Moderator

                                                  An other factor for the private EV buyer is that  Some insurance Co’s are refusing to insure EV’s

                                                  https://www.theguardian.com/money/2023/sep/30/the-quotes-were-5000-or-more-electric-vehicle-owners-face-soaring-insurance-costs

                                                  Driving an electric car should be a win-win, saving money and the planet. So David* was shocked when the insurance on his Tesla Model Y came up for renewal, and Aviva refused to cover him again, while several other brands turned him away.

                                                  When David did secure a new deal, the annual cost rocketed from £1,200 to more than £5,000.

                                                  “My insurer was Aviva from July 2022 to July 2023, but when it was coming up for renewal, I received a letter stating that they would not be covering the Tesla Model Y any more,” David says. “I am a member of a Tesla UK owners forum, and lots of other people seem to be having the same issue.”

                                                  In the Facebook group, members share stories of horror renewal quotes, with increases ranging from 60% (up to £1,100) to a staggering 940% (a jump from £447 to £4,661, according to a screengrab shared by one driver).

                                                  “I spent weeks on every comparison site as well as trying individual insurers and specialist brokers, but either they wouldn’t cover the car or the quotes were £5,000 or more,” says David, whose only change in circumstance was three points on a licence.

                                                  Privilege, Vitality, Axa and the specialist broker Adrian Flux were among the brands he found were “unable to insure him at this time” before he nailed down a policy with Direct Line, albeit at a price.

                                                  Joss
                                                  Current car: Peugeot 308 GT Premium 1.2 Pure tech Petrol.
                                                  Coming soon...BMW X2 sDrive 20i M Sport 5dr Step Auto In November 2025

                                                  #236786
                                                  Glos Guy
                                                  Participant

                                                    Blimey. I’d heard that car insurance was going up across the board, but it seems as though EV drivers may be being hit hardest. I read something about repair costs being very high on EVs due to the low placement of the batteries, meaning that they could be far more easily damaged in accidents such as hitting a kerb.

                                                    Is there any added fire risk with them? When I was watching the news yesterday they showed that dreadful crash in Venice where a number of people were killed when a bus went off an elevated section of road and the chief fire officer said “because it was an electrically powered bus it burst into flames immediately”. Tragic.

                                                    Either way, for those wishing to get an EV, Motability is clearly the best route, alleviating most of the cost concerns.

                                                    #236793
                                                    kezo
                                                    Participant

                                                      Is there any added fire risk with them? When I was watching the news yesterday they showed that dreadful crash in Venice where a number of people were killed when a bus went off an elevated section of road and the chief fire officer said “because it was an electrically powered bus it burst into flames immediately”. Tragic.

                                                      Thermal runaway, impact and faulty or non existance battery preconditioning management – the newly announced Enyak is getting this and the ioniq/EV6 already have.

                                                      #236795
                                                      kezo
                                                      Participant

                                                        @joss ⬆⬆ please 🙂

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