FairCharge, the national EV campaign group, is urgently calling on the Government to cut VAT rates on public electric vehicle charging, in line with the five percent rate for those who charge at home. New analysis shows a shocking disparity between those areas most ready for the switch to EVs and those in need of greater support from central Government.
Some areas face 90 percent higher VAT costs at public chargers than home charging, causing those with no off-street parking additional hardship.
This is part of a major six-point action plan to accelerate the electric car revolution in the UK.
FairCharge claims that higher VAT rates on public charging is holding back mass adoption of electric vehicles, as the energy crisis pushes the cost of electricity up.
While, on average, 38 percent of UK households can’t charge at home, new data reveals that this reaches 90 percent in areas of London and Glasgow, 80 percent in parts of Portsmouth and Edinburgh, and 75 percent in parts of Birmingham.
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Wigan’s Makerfield constituency tops the table of the greatest potential access to at home EV charging, closely followed by Rother Valley in Yorkshire; Sefton Central in Liverpool; and St Helens.
Coventry has the most public chargers per household solely reliant on the public network, closely followed by Westminster and Kensington in London, Birmingham Yardley and Milton Keynes North.
Ahead of the upcoming Spring Statement, FairCharge has set out a six-point action plan for the Government to keep the UK’s electric car revolution on track and to ensure all drivers are able to access an EV.
Quentin Willson, motor journalist and founder of the FairCharge campaign, said: “America and Europe can clearly see the massive economic, social, and public health benefits of electrification.
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“If we’re not careful the UK will claim last place in the race for global investment and become the land of diesel-driving dinosaurs.
“The Chancellor should use the Spring Statement to make a generational commitment to the future of UK electrification to create investment confidence for the industry, increase energy security, and help clean up our urban air.
“Cutting VAT on public charging is essential. The Treasury is disadvantaging drivers by forcing them to pay four times the rate of VAT simply because they don’t have a driveway.”
He highlighted how these higher costs are slowing EV adoption in the UK, coupled with the lack of grants and incentives, which other nations benefit from.
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As part of the six-point plan, FairCharge is calling for the Government to finalise and publish a strong Zero Emission Vehicle (ZEV) mandate to provide investment confidence to build EVs and infrastructure in the UK and support UK manufacturers.
Alongside this, delivering charge point funding, guidance and standards to advance the roll-out of charging infrastructure at the local level is vital.
Mr Wilson added: “Since the Government grandly announced the halt of new combustion car and van sales in 2030 it feels like it’s rammed on the handbrake.
“UK EV manufacturing industrial strategy has all but disappeared, car makers are moving EV production abroad, subsidies have gone – along with hopes of a British battery factory.
“Last week the White House – the political centre of the land of V8 engine – announced a $27.5billion package to support EVs, charging infrastructure, battery manufacturer and the supply of critical minerals.
“In the UK we can’t even offer £500 for a home charger. If the Government doesn’t take urgent action, we will lose the opportunity for tens of billions in economic activity and tens of thousands of new highly paid, highly skilled jobs.”
EV campaigners are also calling for a support scheme for low-income drivers to access EVs, mirroring similar initiatives to Europe and the US.
Increasing the provision of EV charging signage would also help tackle charging anxiety and provide confidence to current and future EV drivers. The group is also calling on the Government to decouple the wholesale price of electricity from gas for lower energy costs for all.
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