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AA calls for tax break for EV drivers without off-street parking 

AA calls for tax break for EV drivers without off-street parking 

The AA is demanding that more should be done to help potential EV drivers without access to off-street parking who cannot benefit from home charging at preferential rates. 

The 40% of households without access to off-street parking or in rental accommodation need more local chargers at beneficial rates. The AA believes the Treasury should cut VAT on electricity to 5% for local charger posts to match the rates that homeowners with their own charging posts benefit from. 

Edmund King, AA president and an EV driver, said: “In order to convince more drivers to make the switch to electric cars a more accessible charging network is crucial. We need more well-signed charge points installed in well-lit areas that are totally accessible for all including disabled or elderly drivers. 

“We are also concerned that a two-tier system could emerge where the 40% of households without dedicated off-street parking pay considerably more to charge than those with a driveway, garage or parking space. More on-street residential charging options are essential as drivers won’t always want to travel to a rapid charging station. 

“Cutting VAT on public charging to 5% in residential and urban areas so it mirrors tax rates on domestic energy would be a good start and make EV ownership more affordable for those without off-street parking.

“The AA is number one for EV drivers and we are committed to supporting EV drivers from learning to drive, to buying, insuring, servicing, fixing their EVs.”

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