- The Electric Car Scheme reveals key EV market predictions for 2025, focusing on affordability and accessibility.
- Trump’s administration may reshape global EV markets, potentially boosting UK EV imports from manufacturers shifting focus.
- Can UK manufacturers achieve the 28% EV sales target needed to stay on track for 2030 goals?
The Electric Car Scheme has shared its forecasts for the electric vehicle (EV) market in 2025, highlighting potential challenges and opportunities for the UK. From shifting political landscapes to breakthroughs in charging infrastructure, the coming year promises to be transformative for the EV sector.
In January, Donald Trump will begin his second term as US President, following his commitment to end EV subsidies. Meanwhile, UK manufacturers will face a new benchmark, requiring 28% of vehicle sales to be electric.
EV Market Reaching a Tipping Point?
Recent data from The Society of Motor Manufacturers and Traders (SMMT) shows promising growth in EV demand. By October 2024, battery electric vehicles accounted for 20.7% of new vehicle deliveries, up from 15.6% in October 2023. This upward trajectory, if sustained, could see market share approach the 2025 target of 28%, a significant milestone in the UK’s journey towards the 2030 zero-emissions deadline.
A Surge in Used EV Sales?
The growing used EV market is also gaining traction. The Electric Car Scheme reports that since launching its used EV salary sacrifice programme, over 50% of its sales now come from pre-owned electric cars. This surge is attributed to the falling costs of used EVs, addressing affordability – the primary barrier for 68% of prospective buyers. As leases end and newer models enter the market, second-hand EVs will play a pivotal role in expanding access.
Charging Infrastructure Revolution
Projections indicate that by mid-2025, the UK will host over 100,000 public EV chargers – more than 10 times the number of petrol stations. With an increasing focus on rapid and ultra-rapid chargers, range anxiety and charging difficulties could diminish, easing one of the major barriers for 40% of potential EV adopters.
Innovations such as off-peak smart charging and salary sacrifice options for home charging are further reducing the cost per mile for EV drivers, particularly as petrol prices remain high.
Trade War Impact on Affordability
Donald Trump’s presidency may unexpectedly benefit the UK EV market. The removal of tax credits in the US and higher tariffs could make foreign-made EVs less attractive to American buyers, prompting manufacturers to focus on other markets, including the UK. This shift could see more affordable Chinese EVs boosting UK adoption rates.
Thom Groot, CEO of The Electric Car Scheme, said:
“The electric vehicle market is on the verge of a major transformation by 2025, and it’s an exciting time for both the industry and consumers. With battery technology advancing and governments around the world ramping up support, we’ll see EVs become increasingly accessible and affordable. As cheaper Chinese EVs become available, and the used EV market matures, we could see EVs available for less than £200 a month, a much more affordable price point.
“EV uptake was never going to be linear, like many things it goes through peaks and troughs, but we could be on the cusp of a significant jump as affordability increases rapidly. The UK has a long way to go to reach the 2030 target, but there is significant desire to achieve this from consumers. This is exactly why we set up The Electric Car Scheme, to help make it simpler and cheaper to get behind the wheel of an electric car.”
