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UK ministers are developing plans to support electric car purchases by ensuring consumer loans, because they are looking for ways to raise sales that remain stubborn than official goals.
The government has opened special discussions with the auto financing sector to try to increase the availability of low or benefits -free loans to help increase EVS, according to government and industry figures.
People said that one of the options discussed is that the state asserts private sector loans to reduce the monthly payment to help make the purchase costs of EV closer to gasoline or diesel vehicles.
This step will be welcomed by the auto industry – which has struggled to sell EVS in folders required by government targets – and will be a recognition that consumer subsidies that were canceled in 2022 have been eliminated early.
Although EVS remains more expensive to purchase explicitly than the traditional engine -based vehicles, more than 80 percent of new cars in the UK are purchased using financing or lease deals according to the Finance and Leasing Association.
Car makers urge ministers to submit new demands to encourage consumers to buy more electric cars, as well as accelerate the display of shipping points.
EVS sales are increasing in the UK, but are still much lower than official targets, focusing in the automotive sector, where generous tax incentives are still present.
Car manufacturers such as Volkswagen, Ford and Renault are under pressure to pressure the stretch targets of EV sales according to the government's “emissions vehicle”, which requires a certain percentage of sales of all annual sales cars to be zero emission vehicles.
The percentage of 28 percent this year is scheduled to increase to 80 percent in 2030, as companies face fines of 15,000 pounds per missed vehicle.
Stelantis said last year that the costs of compliance with the scheme were partially behind its decision to close the Luten Van factory, which endangered 1,100 jobs, while Ford blamed the mandate as it reduced 800 UK roles last year in a broader European restructuring.
EVS made up 19.6 percent of the new cars that were sold in the United Kingdom last year, which was 22 percent less than the required target, according to the numbers of the Association of Motor Companies and Traders.
The government is currently consulting the auto industry on how to improve “arrangements and flexible gays” in the plan to try to give manufacturers more breathing.
The ministers are unlikely to restore the cash incentives for EV purchases due to the direct cost of the Treasury Treasury. The previous cars granting, which paid 5,000 pounds, was reduced against EV, over time and was eventually canceled in 2022 by the conservative government.
The potential intervention on EVS comes after the Labor Adviser Rachel Reeves in A weed The case of the Supreme Court for the prevention of the auto financing sector Forced to pay billions as compensation to consumers.
It has turned the appearance of comprehensive payment deals to buy the car financing sector in the country. The most common financial deal is called “the purchase of a personal contract”, a paid outline that car drivers see the value of the car loses over a period of three years instead of the total cost of the car.
The collapse of the prices used for electric cars in the past two years means that the EV payment is usually higher than that of gasoline.
Adrian Dali, Florida's auto financing manager, said that zero loans in interest will not specify the full cost between EVS and internal combustion vehicles, but he added: “If there is a way the government can guarantee cheaper loans. This will be very useful.”
The impact of the plan on public financial affairs depends on how the UK decides to create any support. The ministers hope that the change in the goal of the government's debt will lead to a new procedure called “net financial obligations in the public sector” – which calculates more assets in addition to public obligations – can help the proposal.
A spokesman for the Ministry of Transport declined to comment on the FT report, but he said that the year 2024 was a “record year to switch to Electric” with the sale of 382,000 EVS and the addition of nearly 20,000 year shipping to the network.
“We invest more than 2.3 billion pounds to support the industry and consumers are switching.”
