Eight in 10 dealers back EV scrappage scheme

More than eight in 10 UK car dealers believe a scrappage scheme is needed to support new electric vehicle sales, according to the latest Startline Used Car Tracker.

The research from Startline Motor Finance found that 83% of dealers support the introduction of a scrappage scheme, while 60% believe the government should be encouraging consumers to switch to electric vehicles.

Affordability remains a significant concern, with 61% saying EVs need to be made as affordable as possible and 26% believing electric cars remain financially out of reach for too many consumers.

A further 21% highlighted the number of older, higher-emitting vehicles still operating on UK roads as a reason for government intervention.

“The electric new car market is already supported by the government with dual level subsidies, but dealers clearly feel that a scrappage scheme would have a wider impact,” he said.

“It’s easy to see the advantages. The current scheme reduces the price of a new electric car but it is effectively invisible – consumers don’t see the discount. A scrappage scheme has a much higher profile. It’s more dramatic.”

Opposition to additional government intervention was relatively limited. Some 10% of dealers said keeping existing vehicles on the road was more environmentally sustainable, while 8% pointed to the improving affordability of EVs.

Just 6% said the government should not intervene in the market.

Burgess added: “It appears the number of dealers against the idea of a scrappage scheme is relatively low. While dealers today view electric cars as increasingly commercially viable, most still want to see the market remain supported by the government.”

The Startline Used Car Tracker is produced monthly by APD Global Research for Startline Motor Finance. The latest survey questioned 300 consumers and 60 dealers.