UK transport minister tells Autocar fully electric vehicles are the focus of future government incentives

The UK government will not reinstate a grant for the purchase of new plug-in hybrid vehicles, Jesse Norman, minister of state for the Department for Transport, has told Autocar.

The grant was modified in October last year, with only fully electric vehicles qualifying for a £3500 subsidy. Previously, the subsidies for hybrid and electric vehicles ranged from £2500 to £4500 depending on the model's zero-emissions range.

“We have to spend the tax payers’ money in a way that reflects the changing market,” said Norman. “The evidence was very clear: owners of plug-in hybrids were not plugging them in, negating the environmental benefits and undermining the incentives.

“Instead, our focus is very much on pushing battery electric vehicles. It's where we have to get to and where we can see the biggest benefits. If I look at the electric bicycle industry and how that has taken off and been opened up, then I see great opportunity. Today, you can buy an electric bike at Aldi for £500 - and that wasn’t the case a few years ago.

“I expect the prices of electric cars to come down dramatically in the same way, and I’m not prepared to spend tax payers’ money incentivising technology that doesn’t reflect this changing market.”

Manufacturers of plug-in hybrid vehicles and the Society of Motor Manufacturers and Traders (SMMT) had vigorously campaigned for an incentive to be reintroduced, saying its withdrawal had damaged the transition to low-emissions vehicles. 

Last month, sales of plug-in hybrids dropped 34% to 1922 units, compared with 2929 last April when the incentive was still in place. While supply issues of the latest plug-in hybrids have been identified as one reason for this, SMMT chief Mike Hawes said the figures were also “evidence of the consequences of prematurely removing upfront purchase incentives before the market is ready”. 

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Mitsubishi Outlander PHEV

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Mitsubishi, maker of the best-selling Outlander PHEV, presented evidence suggesting that UK owners of the car cover half their average weekly mileage in electric mode, substantially lessening the model’s environmental impact.

Although Norman didn’t confirm if the Government’s decision had been based on data from the Netherlands that indicated that many plug-in hybrid cars weren’t being charged, when asked about Mitsubishi’s UK-specific data, he said: “I'm not prepared to look back and make retrospective changes that undermine the benefits full battery electric vehicles can bring.”

Reports suggest the German government is on the cusp of raising its grant for full electric cars to €4000 (£3400) - a figure that must be matched by the selling manufacturer - on cars costing less than €30,000 (£26,000).

Read more

Mitsubishi 'extremely disappointed' by end of government plug-in grants

Plug-in hybrid sales fall sharply in April 2019

Autocar's top ten hybrid SUVs 2019

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Comments
18

17 May 2019

The government still doesn't get it, people buy PHEVs instead of BEVs because they can't afford the latter and because the range and infrastructure is (currently) limited. By pulling the incentives, it's just pushed people back to traditional ICE cars.Unless they're planning a massive 30-50% subsidy for BEVs, people won't buy them until the purchase price comes down, the range improves and there's always a charger they can find to top it up in 10-15 minutes.

289

17 May 2019

....its the same old myopic London based thinking. No comprehension of the difficulties of range and charging point availability outside of the M25.

The incompetent destroying the electorates lives as usual.

However the buyers of PHEV's havent helped the decisions from Whitehall by exploiting a BiK tax loophole with no intention of actually 'plugging in'!

17 May 2019
ricequackers wrote:

Unless they're planning a massive 30-50% subsidy for BEVs, people won't buy them until the purchase price comes down, the range improves and there's always a charger they can find to top it up in 10-15 minutes.

But people are buying them, outselling PHEVs in some markets, and in ever increasing numbers!

typos1 - Just can’t respect opinion

17 May 2019
xxxx wrote:

ricequackers wrote:

Unless they're planning a massive 30-50% subsidy for BEVs, people won't buy them until the purchase price comes down, the range improves and there's always a charger they can find to top it up in 10-15 minutes.

But people are buying them, outselling PHEVs in some markets, and in ever increasing numbers!

 

but we're not that market... i suspect you are talkig markets such as small countries or aras like Hong Kong.. n UK we are no where near ready for mass EV ( Infrastructure, power grid, Next Geb battery - solid state  etc ) .  The steppeing stone has been removed and people are still hesistant on full EV... look at the Germans still developing and flogging diesels !

17 May 2019
mpls wrote:

xxxx wrote:

ricequackers wrote:

Unless they're planning a massive 30-50% subsidy for BEVs, people won't buy them until the purchase price comes down, the range improves and there's always a charger they can find to top it up in 10-15 minutes.

But people are buying them, outselling PHEVs in some markets, and in ever increasing numbers!

 

but we're not that market... i suspect you are talkig markets such as small countries or aras like Hong Kong.. n UK we are no where near ready for mass EV ( Infrastructure, power grid, Next Geb battery - solid state  etc ) .  The steppeing stone has been removed and people are still hesistant on full EV... look at the Germans still developing and flogging diesels !

Translation of your post, I don't like EV's therefore they don't work.

Go on the Tesla journey planner, you can go pretty much anywhere in the UK using superchargers and a 300 mile range. Secondly a car in the US (not the UK) only goes over 200 miles in a day on 1% of the days it used.

Around 40% of people in the UK (and a higher proportion of car owners) have a drive and as such can refuel their car up at home. With the build out of fast charging a good portion of the rest of the country people can either fast charge once a week or charged during the day at work. Either way there are millions of customers who could use an existing EV, that is enough people to orgnaically build a market which delivers the infrastructure required for everybody else.

As for the grid, 1: don't worry and 2: it is already 50% low carbon today. If you don't believe me on either of those do some research on anything other than discussion boards and tabloid media.

As for a PHEV being a stepping stone, if people have the issues around access to charging which prevents them using an EV they will have similar issues with PHEV and as the minister pointed out buys of PHEVs weren't plugging them in, essentially making them stepping stones to nowhere.

Finally the principle barrier to electric vehicl adoption is not enough electric vehicles to buy both is model types and in numbers. The infrastructure is relatively easy to scale as the vehicles are sold e.g. Tesla built the supercharger network out of revenue from car sales as they only need around 1 charger for every 100 cars. For slow chargers the ratio is more like 10-1.

 

17 May 2019
Torque Stear wrote:

mpls wrote:

xxxx wrote:

ricequackers wrote:

Unless they're planning a massive 30-50% subsidy for BEVs, people won't buy them until the purchase price comes down, the range improves and there's always a charger they can find to top it up in 10-15 minutes.

But people are buying them, outselling PHEVs in some markets, and in ever increasing numbers!

 

but we're not that market... i suspect you are talkig markets such as small countries or aras like Hong Kong.. n UK we are no where near ready for mass EV ( Infrastructure, power grid, Next Geb battery - solid state  etc ) .  The steppeing stone has been removed and people are still hesistant on full EV... look at the Germans still developing and flogging diesels !

Translation of your post, I don't like EV's therefore they don't work.

Go on the Tesla journey planner, you can go pretty much anywhere in the UK using superchargers and a 300 mile range. Secondly a car in the US (not the UK) only goes over 200 miles in a day on 1% of the days it used.

Around 40% of people in the UK (and a higher proportion of car owners) have a drive and as such can refuel their car up at home. With the build out of fast charging a good portion of the rest of the country people can either fast charge once a week or charged during the day at work. Either way there are millions of customers who could use an existing EV, that is enough people to orgnaically build a market which delivers the infrastructure required for everybody else.

As for the grid, 1: don't worry and 2: it is already 50% low carbon today. If you don't believe me on either of those do some research on anything other than discussion boards and tabloid media.

As for a PHEV being a stepping stone, if people have the issues around access to charging which prevents them using an EV they will have similar issues with PHEV and as the minister pointed out buys of PHEVs weren't plugging them in, essentially making them stepping stones to nowhere.

Finally the principle barrier to electric vehicl adoption is not enough electric vehicles to buy both is model types and in numbers. The infrastructure is relatively easy to scale as the vehicles are sold e.g. Tesla built the supercharger network out of revenue from car sales as they only need around 1 charger for every 100 cars. For slow chargers the ratio is more like 10-1.

 

 

Seriously...  if they could do 400 miles on one charge  ( real miles . not concocted), and enough charge points, as many places as there are petrol stations..  with enough charge points per station..  and chargig that take 10 mins or less - consistently, fast chargeing that does not damage the battery ( no memory effect), and for the electricty grid to be able to handle it all..  That will enable mass market...  until then good luck.. as I don;t see it happening yet..  My point about hybrid is that is is there to bridge the gap..  between pure ICE cars  and full EVs..  no where did I say i donlt like EVs...  get your facts straight !

17 May 2019
Torque Stear wrote:

mpls wrote:

xxxx wrote:

ricequackers wrote:

Unless they're planning a massive 30-50% subsidy for BEVs, people won't buy them until the purchase price comes down, the range improves and there's always a charger they can find to top it up in 10-15 minutes.

But people are buying them, outselling PHEVs in some markets, and in ever increasing numbers!

 

but we're not that market... i suspect you are talkig markets such as small countries or aras like Hong Kong.. n UK we are no where near ready for mass EV ( Infrastructure, power grid, Next Geb battery - solid state  etc ) .  The steppeing stone has been removed and people are still hesistant on full EV... look at the Germans still developing and flogging diesels !

Translation of your post, I don't like EV's therefore they don't work.

Go on the Tesla journey planner, you can go pretty much anywhere in the UK using superchargers and a 300 mile range. Secondly a car in the US (not the UK) only goes over 200 miles in a day on 1% of the days it used.

Around 40% of people in the UK (and a higher proportion of car owners) have a drive and as such can refuel their car up at home. With the build out of fast charging a good portion of the rest of the country people can either fast charge once a week or charged during the day at work. Either way there are millions of customers who could use an existing EV, that is enough people to orgnaically build a market which delivers the infrastructure required for everybody else.

As for the grid, 1: don't worry and 2: it is already 50% low carbon today. If you don't believe me on either of those do some research on anything other than discussion boards and tabloid media.

As for a PHEV being a stepping stone, if people have the issues around access to charging which prevents them using an EV they will have similar issues with PHEV and as the minister pointed out buys of PHEVs weren't plugging them in, essentially making them stepping stones to nowhere.

Finally the principle barrier to electric vehicl adoption is not enough electric vehicles to buy both is model types and in numbers. The infrastructure is relatively easy to scale as the vehicles are sold e.g. Tesla built the supercharger network out of revenue from car sales as they only need around 1 charger for every 100 cars. For slow chargers the ratio is more like 10-1.

 

 

The reality is that with current battery tech ( same as mobile phones) i would not spend 20K plus on an EV.. a car like tesla S doing 300 miles on a singel charge..  how big of a car that it has tp be, the sixe of a Tesla S to get that range.. the power density is not quite there yet.. next generation is supposed to bring that so that a car does not have to be the size of a Tesla S to get that range because of the amunt of batteries on the car itself...  Who is abe to afford a tesla S  to get that range ??? avaerage joe public ???

jer

17 May 2019

From the explanation I would expect that the government had increased the grant on battery only to spend the same budget. At 3k cars and average 3.5k subsidy. After wasting money on non existent ferries its nothing ... a drop in the ocean compared with the money thrown down the drain on smart motorways and such like.

17 May 2019

If its something the SMMT are vigorously campaigning for, then usually its not a very good idea.

17 May 2019

Because PHEV should be able to 'stand' on their own 4 wheels by now. If you need another reason,  look at the main picture.  

typos1 - Just can’t respect opinion

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