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GB: Government no longer provides incentives for electric models - Regulations and Institutions

2024-03-07T11:36:16.648Z

Highlights: GB: Government no longer provides incentives for electric models. Vauxhall (Stellantis' UK brand) chief executive James Taylor said this budget "does not provide the acceleration needed to prevent the UK's transition to electric vehicles from stalling" The Society of Motor Manufacturers & Traders (SMMT) and Alex Smith, number one at Volkswagen UK, have asked for a cut in the VAT rate on public top-ups - which is currently 20% - to drop to 5%.


Jeremy Hunt, Chancellor of the Treasury of the British Government has excluded the item 'incentives for electric cars' intended for private customers from the spring budget measure. (HANDLE)


 Jeremy Hunt, Chancellor of the Treasury of the British Government has excluded the item 'incentives for electric cars' intended for private customers from the spring budget measure.

A support which, moreover, had been requested by the entire automotive industry in the country.


    In his statement on the financial measures - which also maintained the 'freeze' on fuel taxation - Hunt made no mention of possible support to incentivize the purchase of battery-powered models by families or even to reduce ownership costs.


    Vauxhall (Stellantis' UK brand) chief executive James Taylor said this budget "does not provide the acceleration needed to prevent the UK's transition to electric vehicles from stalling".


    Taylor said that "while there are strong incentives for company cars to go electric, including those choosing luxury models, the private buyer who wants a more affordable small electric gets nothing."


    “If we are to achieve the rightly ambitious targets set out in the ZEV mandate, then incentives are needed for private car buyers to go electric, as is the case in most European countries.”

Requests for purchase incentives have strengthened since the Government introduced the so-called ZEV Mandate, which requires car manufacturers to reach pre-established sales targets for electric vehicles, in the case of 2024 22% of total registrations, "If we want to achieve the rightly ambitious objectives set in the ZEV Mandate - said Taylor - then incentives are needed for private car buyers who support the transition to electric, as happens in most European countries".


    Also on the agenda of the discussions with the Government is the topic of the application of VAT on electricity top-ups.


    The Society of Motor Manufacturers & Traders (SMMT) and Alex Smith, number one at Volkswagen UK, have asked for a cut in the VAT rate on public top-ups - which is currently 20% - to drop to 5% which is the rate applied on top-ups domestic. 

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Source: ansa

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