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BVRLA welcomes Labour support for fleets to drive EV uptake

BVRLA welcomes Labour support for fleets to drive EV uptake

The BVRLA welcomes the Labour Party’s commitment to accelerating the uptake of electric vehicles and is particularly pleased to see the important role of fleets being acknowledged.

A series of proposals and incentives for drivers and fleets have been announced by Shadow Business Secretary Rebecca Long-Bailey MP, who used the Party Conference to pledge that a Labour government will invest £5.8bn in the automotive industry to accelerate the shift to electric vehicles.

In her announcement, Ms Bailey set out Labour’s ambition to see all business car fleets go 100% electric by 2025. As an incentive, Labour proposes to remove the £320 Vehicle Excise Duty surcharge on electric vehicles purchased for private fleet use above £40,000 for two years.

BVRLA Chief Executive Gerry Keaney said: “It is reassuring to see fleets being acknowledged in this announcement as it indicates a degree of understanding and appreciation of the key role that fleets play in delivering the UK’s zero emission goals. 

“We welcome the proposed removal of the £320 surcharge for EVs, which was one of our recent pre-Budget calls to the Chancellor, but this on its own will not be enough for fleets to meet this 2025 target.

 “We need to remove some of the uncertainties that are currently stifling progress. The fleet sector needs some long-term clarity on future company car tax rates for electric vehicles. We would also like to see continued support for the Plug-in Car Grant to at least 2025.

“BVRLA members are currently responsible for around 35% of the UK’s plug-in electric vehicles, but this figure can be far greater with the right incentives and support for fleets.”

As well as incentives for fleets, the Shadow Business Secretary also announced a range of proposals for individuals, including the introduction of a new loan scheme and a proposed new scrappage scheme aimed at replacing 400,000 of the most polluting cars with electric vehicles.

Keaney continued: “Although the proposed scrappage scheme is a positive step forward to encourage people to switch to electric vehicles, we would suggest investment in mobility credits which are a more sustainable solution in the long run.

“We are glad to see the Labour Party recognising the important role that car sharing plays in encouraging sustainable transport behaviour and we are in touch with the shadow team to find out more details about how they plan to implement these schemes.”

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