Back In November 2020, the Prime Minister announced that the sale of new petrol and diesel cars would be phased out by 2030, as part of the Government’s 10-point plan for a “green industrial revolution”.

That deadline is fast approaching, but there are several factors to consider before you make the move to an electric vehicle (EV).

From improving technology to the abundance of charging points and even the cost of diesel amid a cost of living crisis, you’ll need to weigh up the environmental and the economic factors.

Keep reading for everything you need to know.

Gearing up for change

As part of its 10-point plan to build back better, support green jobs, and accelerate the UK’s path to net zero, the sale of new petrol and diesel cars and vans will be scrapped from 2030. New hybrid vehicles can be sold, under the current plans, until 2035.

To smooth the transition to EVs, several other measures have been put in place, and money promised.

Funds to support electrification

The government has committed up to £1 billion to support the electrification of UK vehicles and £1.3 billion to accelerate the rollout of charging infrastructure. It had also earmarked £582 million to extend plug-in vehicle grants. These grants, designed to reduce the costs of electric vehicles, making them a more viable option for many consumers, have been wound down significantly during 2021.

In 2022 so far, the rise in the energy cap has seen household fuel bills rocket. And while gas prices have made most of the headlines, according to This Is Money, the average cost of electricity could rise by 36% in April.

The chancellor, Rishi Sunak, also used his spring statement to reduce fuel duty. The cut of 5p a litre, in place until March 2023, sees fuel duty cut for only the second time in 20 years.

Grants to go electric

The Government introduced grants to incentivise a move to EVs in 2011. At that time, the grant would subsidise a new EV by up to £5,000.

This grant has been falling ever since and was slashed twice in 2021. It now sits at just £1,500, although EV prices have also dropped in this time and are expected to be on par with non-EVs from 2025.

A home-charge scheme offering financial support to install a charging station at home

Charging point infrastructure still has a long way to go. iNews recently quoted motoring think tank New Automotive, whose recent report found that while the number of public charge points in the UK had doubled over the past two years, another 40 to 50 need to be installed every day for the next 10 years to meet demand.

To allow EV drivers to plug in at home, the government had been offering an Electric Vehicle Home Charge Scheme (EVHS). This was a £350 grant towards the installation of a charge point at a private property.

The grant has been available since 2014 but is closing to all “single-unit” properties including detached, semi-detached, or terraced houses from April 2022.

While the cost of EVs is falling and infrastructure is slowly improving, you’ll need to be aware that rising electric prices and diminishing grants could make owning an electric car £2,050 more expensive now, than it was a year ago.

Who will win the EV race?

Despite rising costs in some areas, the government’s 2030 target approaches and environmental consciousness in the UK and abroad continues to increase.

It means that your move to an EV is more a matter of when than if. So, when you do make the move to electric, which manufacturer might you choose?

Tesla is still way out in front in terms of stock market value. However, Toyota, BMW, Ford, and Volkswagen are all making the necessary moves into the EV market.

While Tesla delivered more than 930,000 EVs last year, Toyota managed half of that total (452,900). General Motors is expected to spend around $35 billion over the next three years as it looks to have 30 different EVs on the market by 2025.

Ford, meanwhile, has had some success with its E-Mach SUV and the E-Transit is also due this year.

With a wholesale shift on the horizon – from diesel and petrol to electric, all within the next decade – all the major players will likely be innovating and speculating as they look to turn their fleets electric in time for the government’s 2030 deadline.

Get in touch

The government still has a lot of work to do to get the UK’s infrastructure ready for the big switch to EVs. The industry too will be pumping billions into production over the next few years.

For consumers, as prices tumble and competition grows, you might find the cost of turning electric lowers too.

Choosing exactly the right time to make the switch might not be easy, and while we can’t help you choose the right car for you, if you have any concerns about affordability or your long-term financial plans, get in touch and speak to us today.