EV sales exceeding targets
New data has found that the UK is on course to meet the government’s electric vehicle targets, with adoption rates now ahead of the required curve.
Data from the Department for Transport included in Volkswagen Financial Services UK’s first EV tracking report found that over the past decade sales of electric vehicles has been modest, but volumes began to accelerate from around 2016.
This increased momentum has intensified over the intervening six years and has further accelerated since the turn of the current decade, with 2021 delivering a significant step change.
According to figures from the Society of Motor Manufacturers & Traders (SMMT), sales of EVs over the past year outstripped volume levels for the past five years combined. When assessed in the context of the required sales levels as outlined on the Climate Change Committee adoption curve for 2032, it highlights that the UK was over 60,000 vehicles ahead of the curve at that point.
By way of overall market perspective, the figures demonstrate that the volume of electric cars on UK roads currently account for 2.6% of all passenger cars.
However, while the strong sales performance of EVs during 2021 was notable, it must be acknowledged that emerging social and economic challenges could impact the burgeoning EV market, particularly in the short term.
A combination of cost-of-living pressures, tax rises, escalating energy costs, and global market uncertainty, is denting consumer sentiment and affecting behaviour.
Mike Todd, CEO at Volkswagen Financial Services UK, said: “This first EV tracking report highlights the positive momentum that has, in recent years, seen increasing numbers of drivers switch from combustion engine vehicles to embrace greener, more sustainable transport.
“The startling sales performance witnessed in 2021 is a recognition that for many an EV is the way to go. This has resulted in the UK tracking 60,000 vehicles ahead of the necessary adoption curve timescale to meet the Climate Change Committee’s target of 55% of all light duty vehicles being battery powered in 10 years’ time. This is a vital component of the nation’s net zero ambition.”
