Outside it’s artificial bubble, Motability is susceptible to market trends, especially with the volatilty of the used EV market. Three year old EV’s are seeing a depreciation of 60%, holding on to a residuale valuse of just 40% , which is unprecidented in the modern day car industry.
Since the push to electric, Fully EV’s, as of January this year, still only account to around 4% of c34million cars on UK roads. The private buyers market has remained relatively flat, those that initially dipped their toe’s in at the beginning, is not seen anymore, which leave’s the lease market, by far the larges’t majority of buyers to pick up the pieces and to take the hit, when it’s time to move them on.
The ZEV mandate, just like carbon offsetting where it suites are some of biggest con’s going, putting european manufacturers under immense pressure to stay profitable. China even with tariffs applied is laughing!
To compound this our Rach from accounts is going to apply VED to EV’s. Whils’t I’m a strong believer all road derived, should pay VED, it’s a further kick in the teeth for EV owners, which won’t help sales.