Category: News

Urgent action must be taken by the Government to remove barriers to the adoption of electric vehicles (EVs), according to a House of Lords report.

A combination of higher purchase costs, insufficient charging infrastructure and mixed messaging are putting some people off from making the switch to electric motoring, peers warned.

The report from the Environment and Climate Change Committee urged ministers to instil confidence in consumers to ditch petrol and diesel cars.

One option it suggested is to incentivise purchases of used EVs by creating an industry standard assessment of the condition and likely future degradation of their batteries.

Other recommendations included ensuring the rollout of EV charging infrastructure is not delayed by “out-dated regulation”, and taking action to tackle “misinformation” about electric motoring.

Baroness Parminter, who chaired the inquiry, said: “Surface transport is the UK’s highest emitting sector for CO2, with passenger cars responsible for over half those emissions.

“The evidence we received shows the Government must do more – and quickly – to get people to adopt EVs.

“If it fails to heed our recommendations, the UK won’t reap the significant benefits of better air quality and will lag in the slow lane for tackling climate change.”

EVs are more expensive to buy than their petrol and diesel equivalents, and there is an “insufficient range of affordable EVs”, the report stated.

The upfront cost of EVs, including second-hand cars, is “a significant barrier to consumer adoption”, the committee said.

Peers described the UK’s removal of purchase incentives to support private buyers as “premature”.

They also suggested that Prime Minister Rishi Sunak’s speech announcing the delay in the ban on sales of new petrol and diesel cars from 2030 to 2035 – in which he said achieving net zero “is going to be hard” – was an example of “emphasising the costs while failing to stress the benefits”.

Steve Gooding, director of the RAC Foundation, said: “For many people, an electric car offers the prospect of cheap motoring once they have left the showroom.

“The key is the recharging process, especially when drivers are away from home.

“Plugging in at a public charge point needs to be as simple and straightforward as visiting a forecourt selling petrol and diesel, and at the moment the multitude of systems and tariffs on offer means it isn’t.

“Convenience and consistency must triumph over complexity.”

The Society of Motor Manufacturers and Traders said on Monday that the millionth pure battery electric new car was registered in the UK in January.

It warned that market growth is currently dependent on businesses and fleets, and urged the Treasury to use next month’s Budget to temporarily halve VAT on purchases of new EVs.

The Government announced on Monday that schools in England will be able to apply for grants to buy and install electric vehicle chargers.

State-funded schools and other learning institutions will have access to a grant providing up to 75% of the cost to install chargers, with funding available for up to £2,500 per socket.

A Department for Transport spokesperson said: “After more than a decade of Government grants and tax incentives, the number of electric cars on our roads has significantly increased, with over a million now on UK roads.

“We are continuing to support the switch to electric with more than £2 billion, seeing a 45% increase in public chargepoints since January last year, putting us on track to install 300,000 public chargepoints by 2030.

“This week alone we have made chargepoints more accessible, with the first councils starting to receive part of the £381 million local electric vehicle infrastructure fund alongside new grants to install chargepoints in state schools and nurseries.”

Ginny Buckley, founder of EV marketplace Electrifying.com, said: “The peers on this committee have pulled no punches in this report.

“We’ve consistently said that improvements to incentives, infrastructure and information are essential if we are to meet net zero targets and leave no-one behind on the journey.

“This report clearly shows that the House of Lords agrees with us.”

British electric car and van maker Arrival has entered into administration just a week after being de-listed from the Nasdaq stock exchange.

Once one of the shining start-ups of the electric vehicle segment, Arrival was founded back in 2015 and had its headquarters in Banbury, Oxfordshire alongside nine further sites across the country. The Royal Mail trialled nine of its vehicles in 2018 while in 2020 Hyundai and Kia announced a $100m (£85m) investment plan with the firm to help develop next-generation electric vehicles. It currently employs 400 people worldwide.

Arrival was also seen as one of the UK’s most promising tech firms and was invited to present at the Global Investment Summit in 2021.

Now, however, the firm has appointed EY as administrators after failing to rectify issues. Last month it slashed 800 jobs – mainly divided between the UK and Georgia. This latest announcement comes at the loss of 39 employees, according to EY, while a remaining 133 staff are ‘being retained to assist with the sale of the Company’s business and its asset’.

In a statement, EY said: “The Group’s liquidity position has been impacted by challenging market and macroeconomic conditions resulting in delays in getting the Group’s products to market.

“As such, the Joint Administrators are now exploring options for the sale of the business and assets of the Companies, including its electric vehicle platforms, software, intellectual property and R&D assets, for the benefit of creditors.”

To date, more than $1.5bn has been invested in the firm, which aimed to specialise in ‘last-mile delivery vans, intracity buses and ride-sharing passenger cars’.

The millionth pure battery electric new car has been registered in the UK, industry figures show.

This milestone was reached in January, the Society of Motor Manufacturers and Traders (SMMT) said.

Only around 674,000 pure battery electric cars were licensed for use in the UK by the end of 2022.

The SMMT expects pure battery electrics to account for more than one in five new cars registered this year.

The Government’s zero emission vehicles (ZEV) mandate means at least 22% of new cars sold by each manufacturer in the UK this year must be zero emission, which generally means battery electric vehicles.

This threshold will rise annually until it reaches 100% by 2035.

The SMMT is calling on the Treasury to temporarily halve VAT on new pure battery electric cars to encourage more people to make the switch from conventionally fuelled vehicles.

Mike Hawes, SMMT chief executive, said: “It’s taken just over 20 years to reach our million EV milestone but with the right policies, we can double down on that success in just another two.

“Market growth is currently dependent on businesses and fleets.

“Government must, therefore, use the upcoming Budget to support private EV buyers, temporarily halving VAT to cut carbon, drive economic growth and help everyone make the switch.

“Manufacturers have been asked to supply the vehicles. We now ask Government to help consumers buy the vehicles on which net zero depends.”

Ian Plummer, commercial director at online vehicle marketplace Auto Trader, said: “Britain’s millionth new electric vehicle sale is a real milestone moment for the market.

“Considering the pressure on car manufacturers to meet a 22% electric vehicle sales target under the ZEV (zero-emission vehicles) mandate this year, it’s a good time to be an electric vehicle buyer with some manufacturers offering EV discounts as high as 40%.

“Electric vehicles may account for one in five sales this year, but there is still more ministers can do.

“Equalising the VAT on private and public charging points would boost running-cost savings and encourage more people to make the switch to electric.”

SMMT figures show 142,876 new cars were registered last month, an 8.2% increase from January 2023.

The Government announced on Monday that schools in England will be able to apply for grants to buy and install electric vehicle chargers.

State-funded schools and other learning institutions will have access to a grant providing up to 75% of the cost to install chargers, with funding available for up to £2,500 per socket.

The chargers would be available for staff and visitors, but Department for Transport officials said the scheme could also help schools generate revenue by making the power outlets accessible to the public.

New car registrations rose by 8.2% during January as Britain’s millionth electric vehicle hit the roads, new data has shown.

Figures from the Society of Motor Manufacturers and Traders (SMMT) highlight an increase of 10,882 registrations during January – to a total of 142,876 new cars – making it the best performance for the month since 2020. It also makes January the 18th consecutive month of growth.

The SMMT says that this rise was driven ‘entirely’ by the fleet market which rocketed by 29.9 per cent, while in contrast, private registrations fell by 15.8 per cent. In total, fleets accounted for more than six in 10 new cars registered – or 63.2 per cent – up from 52.7 per cent last year.

BEV market share for January also grew year on year to 14.7%, although this is below the full 2023 performance of 16.5%.

PHEVs recorded volume growth of 31.1% to take 8.4% of the market, while HEV volumes fell -1.2% with a 13.1% share.https://t.co/Y1IwMi3cFR pic.twitter.com/iW5EhwkbRf

— SMMT (@SMMT) February 5, 2024

There were also 20,935 electric vehicles sold during the month – a rise of 21 per cent year-on-year – as the market passed its millionth battery-powered vehicle overall. Market share for these vehicles also grew year-on-year to 14.7 per cent, though this still lags behind the full 2023 performance of 16.5 per cent. Plug-in hybrids also saw record volume growth of 31.1 per cent, meaning that they held 8.4 per cent of the market. ‘Regular’ hybrid registrations fell by 1.2 per cent, however, with a 13.1 per cent share.

Mike Hawes, SMMT chief executive, said, “It’s taken just over 20 years to reach our million EV milestone – but with the right policies, we can double down on that success in just another two. Market growth is currently dependent on businesses and fleets.

“Government must therefore use the upcoming Budget to support private EV buyers, temporarily halving VAT to cut carbon, drive economic growth and help everyone make the switch. Manufacturers have been asked to supply the vehicles, we now ask government to help consumers buy the vehicles on which net zero depends.”

Parisians voted on Sunday to muscle 4x4s off the French capital’s streets by making them much more expensive to park from the autumn, the latest leg in a drive by Socialist Mayor Anne Hidalgo to make the host city for this year’s Olympic Games greener.

More than 54% of the votes cast in the low-turnout election supported the measure to triple parking fees for large 4×4, or SUV, drivers from out of town to 18 euros (£15.45) per hour in the city’s centre, according to official results.

Only 5.7% of the 1.3 million eligible voters cast ballots at the 39 voting stations around the city.

In get-out-the-vote posts on social media, Ms Hidalgo argued that the vehicles take up too much space on narrow Parisian streets, are too polluting and “threaten our health and our planet”, and cause more traffic accidents than smaller cars.

The additional fees will come into force from September 1, she said.

“The time has come to break with this tendency for cars that are always bigger, taller, wider,” she said. “You have the power to take back ownership of our streets.”

The cost for non-residents to park 4x4s in Paris’s central districts, in the arrondissements numbered 1 through 11, would soar to 18 euros per hour for the first two hours, compared with six euros per hour for smaller cars.

After that, parking would become increasingly punitive. A six-hour stay with a 4×4 would cost 225 euros (£192.52), compared with 75 euros for smaller vehicles.

Away from the heart of the city, in Paris’s outer arrondissements 12 to 20, an out-of-town 4×4 driver would pay 12 euros per hour for the first two hours, progressively rising to 150 euros for six hours.

The mini-referendum was open to Parisians registered to vote. The question they were asked was: “For or against the creation of a specific rate for the parking of heavy, bulky, polluting individual cars?”

The vote follows another consultation last year on whether to ban for-hire electric scooters. The 15,000 opinion-dividing mini-machines were subsequently banished from Paris streets after nearly 90% of the 103,000 voters rejected e-scooters.

More bike lanes are being added for the July 26-Aug. 11 Olympics and Paralympic Games that follow.

City Hall says that 4×4 collisions with pedestrians are twice as deadly than accidents involving smaller cars. It notes that two-thirds of Parisians now do not own a car.

City Hall’s proposed ramped-up parking prices would apply to conventional or hybrid-engined 4x4s from out of town that weigh 1.6 tons or more and two tons or more if they are fully electric.

The next episode of The Grand Tour, which will see hosts Jeremy Clarkson, Richard Hammond and James May follow in the footsteps of the Paris-Dakar rally in a journey across the African country of Mauritania, has been confirmed for release later this month.

‘The Grand Tour: Sand Job’ will feature the trio completing a gruelling journey in ‘cheap modified sports cars’, rather than the rugged Dakar racers that are usually used on these routes. The trip will start on the world’s longest train, before driving through the Sahara and across various river crossings to protect their ‘precious fuel bowser’, which appears to be how the three will be able to cover such long distances without access to a fuel stop.

Though only teaser images have been released, it appears that the trio are using Jaguar, Maserati and Aston Martin convertibles as their chosen modes of transport, with each incorporating significant upgrades to help them with the journey. One image shows the three presenters standing in front of the trio of cars which appear to have been converted into rafts in order to manage a river crossing.

The new show will launch on February 16 and be streamed exclusively on Amazon Prime. It will be the penultimate outing for Clarkson, Hammond and May on the Grand Tour, with a final episode, which has already been filmed in Zimbabwe, due to be aired ‘later in the year.’

The decision for Clarkson, Hammon and May to leave Amazon’s hit show was announced in December 2023, bringing an end to a series which has been running since 2015. It followed on the back of the trio’s roles in BBC’s Top Gear, which had been on screens for more than a decade.

A fourth series of Clarkson’s Farm – which tracks the presenter’s trials and tribulations of owning a working farm – will also be airing on Amazon Prime later this year.

BMW is bucking the trend by introducing a new manual gearbox to its Z4 roadster as it aims to maximise the driving fun of this roadster.

Many manufacturers are looking to, or have already stopped, offering manual cars because of limited demand, and the increasing trend for hybrid and electric models, which always use an automatic transmission.

But BMW is now introducing a manual version of its Z4 for the first time in eight years as part of a new option called the ‘Handschalter Pack’, translated from German as ‘manual switch’. It joins the M2, 1 Series and 2 Series Gran Coupe as BMW’s only models available with a manual gearbox.

Only available on the range-topping M40i model, it uses a 335bhp 3.0-litre petrol engine paired to a six-speed manual gearbox, allowing for a 0-60mph time of 4.4 seconds and a 155mph top speed.

As part of the package, the Z4 gets several other changes including a a retuned chassis and mixed-size alloy wheels, which are 19 inches at the front and 20 at the rear. Changes have been made to the damping settings, suspension springs and traction control adjustments.

The Handschalter model also comes as standard in a fixed specification, including a unique matte Frozen Deep Green paint finish and an Anthracite Silver fabric roof, which can be lowered at speeds of up to 31mph.

It also comes with a smart tan leather interior, which is exclusive to this special edition. At the same time, the generous standard equipment includes twin 10.25-inch digital displays, heated seats and a wind deflector.

The BMW Z4 M40i Handschalter is now available to order, with prices starting from £60,675 – £3,000 more than the standard automatic model. First deliveries are expected in the spring.

BMW has upgraded its entire 4 Series range, introducing a tweaked exterior design alongside a new operating system for the infotainment.

Priced from £43,020 for the Coupe and £49,695 for the Convertible, the new 4 Series will begin to hit the roads this spring as customer deliveries commence.

The exterior of the car hasn’t been markedly changed, but instead given a number of tweaks to keep it fresh. The front foglamps have been removed and M Sport models gain a diffuser in the lower section of the rear bumper. The exhaust tailpipes on M Sport models have grown in size, too.

New exterior paint colours have been made available while the headlights have been comprehensively upgraded with redesigned LED units providing a more distinctive appearance and better illumination at night. The new 4 Series is also available with BMW’s Laserlight rear lights, which use LEDs and fibre optic bundles to give the whole unit an eye-catching ‘graphic’.

Inside, the 4 Series has standard-fit sport seats and a redesigned steering wheel. The Curved Display setup remains the same as the previous 4 Series, but it gains BMW’s latest Operating System 8.5 which incorporates a simpler menu setup. A new QuickSelect function allows drivers to access the most-used functions at the press of the screen. Both Apple CarPlay and Android Auto are included as standard, too.

A number of engine choices remain available with the 4 Series, including popular 420d diesel and 420i petrol models, alongside more performance-orientated M440i versions. At the top of the range sits the M4, which uses a turbocharged straight-six engine.

Transport Secretary Mark Harper has told Mayor of London Sadiq Khan there is no “legal barrier” to cars being donated to Ukraine through the ultra-low emission zone (Ulez) scrappage scheme.

Mr Khan asked the Cabinet minister in December to enable 4x4s and other suitable vehicles that would otherwise be scrapped to be sent to Ukraine.

The mayor had previously made it clear he did not believe altering the Ulez scheme for exporting vehicles would be possible under current laws.

Mr Harper wrote a letter to Mr Khan on Wednesday which stated: “We do not consider there to be any legal barrier to allowing vehicles to be donated to Ukraine.

“You have identified legal obstacles that relate to the processes and design of your scheme and DfT (Department for Transport) and DLUHC (Department for Levelling Up, Housing and Communities) officials have been working with TfL (Transport for London) to identify routes to overcome these.”

Kyiv’s mayor, Vitali Klitschko, reportedly wrote to his London counterpart to suggest donating vehicles as part of the scrappage scheme to assist with Ukraine’s war effort against Russia.

The average price paid for motor insurance in the final quarter of 2023 was around a third, or £157 in cash terms, higher compared with a year earlier, according to the Association of British Insurers (ABI).

Between October 1 and December 31 2023, the average price paid for private motor cover was £627, up from £470 during the same period a year earlier.

The ABI pointed to surging costs for insurers, such as longer repair times, higher repair costs, and the rising price of replacement vehicles.

Rising repair costs are due to a mixture of the price of labour, energy costs, and vehicles becoming more sophisticated, with electric vehicles requiring more specialist expertise to repair, the ABI said.

Its motor insurance premium tracker analyses nearly 28 million policies sold in a year and is based on the price customers pay for their cover rather than what they are quoted.

Mervyn Skeet, the ABI’s director of general insurance policy, said: “We’re acutely aware of the impact that rising motor insurance premiums continue to have on motorists.

“Rising repair costs and other factors outside of insurers’ control mean there is no single action that could bring down premiums. However, we are determined to do all we can to put the brake on.

“We are working with our members to understand what actions can be taken to help motorists manage costs. The cost of paying monthly (premium finance) is one of a number of topics we continue to discuss with our members and the Financial Conduct Authority (FCA).

“We’ve also been very clear, and continue to underline, that cutting insurance premium tax would provide immediate relief for stretched consumers.”

The ABI estimates that insurance premium tax currently adds around £67 to the average motor premium. The tax is levied on insurers but the cost is passed on to customers through the prices they pay.

Recent research by consumer group Which? indicated that in September 2023 those paying monthly for an annual policy faced paying around £309 more on average over the year than those paying in one go.

Younger motorists, who often pay the highest premiums, may be more likely to pay monthly, Which? said.

Specialist brokers may be able to help people who are finding it hard to get insurance. The British Insurance Brokers’ Association can help put people in touch with a specialist broker.

A Financial Conduct Authority spokesman said previously that the body has already told insurers they must ensure their products provide fair value and it expects firms to continue to support customers in financial difficulty and reflect on whether they can do more to support people with lower financial resilience.