Home Business NewsBusinessAutomotive News There has been a decline in the share of new electric cars

There has been a decline in the share of new electric cars

by LLB staff reporter
4th Apr 24 2:30 pm

There has been a decline in the share of new electric cars and the industry are renewing pleas for more incentives.

According to the Society of Motor Manufacturers and Traders (SMMT)  in March 15.2% of new cars were registered compared to 16.2% the previous month.

The SMMT are calling on the government to reduce the VAT on new electric vehicles by 50% and to and re-think the vehicle excise duty for EVs.

The new car market overall saw 317,786 registrations in March which is an increase of 10.4% compared to the same period last year.

SMMT chief executive Mike Hawes said, “Market growth continues, fuelled by fleets investing after two tough years of constrained supply.

“A sluggish private market and shrinking EV market share, however, show the challenge ahead.

“Manufacturers are providing compelling offers, but they can’t single-handedly fund the transition indefinitely.

“Government support for private consumers – not just business and fleets – would send a positive message and deliver a faster, fairer transition on time and on target.”

Ian Plummer, commercial director at online vehicle marketplace Auto Trader, said: “Sales of electric vehicles are still rising, despite the gloom from Tesla.

“While the fleet side of the market is driving the growth, more needs to be done to stimulate electric vehicle demand among private buyers where affordability remains a barrier.

“That said, manufacturers are fighting harder than ever to tempt customers, as more than three-quarters of new EVs are now advertised on our platform with discounts.

“That trend only looks set to accelerate as manufacturers struggle to meet strict ZEV mandate targets in a much more competitive landscape.

“The arrival of new Chinese entrants is likely to continue to shake up the market and bring down prices for consumers.”

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