Ford has long made it quite clear that it believes robust incentives are needed in places like Europe and the UK if the automaker has a chance of meeting zero-emissions sales targets in those parts of the world – which it and many of its peers fell short of hitting in 2024 already. Though those automakers likely won’t have to pay stiff fines for missing those targets in the UK, specifically, that stems from the fact that those companies can compensate for missing the targets either by reducing emissions in their ICE vehicle fleets, or by buying credits from future years. Now, however, Ford EV sales could get a big boost from a new, tentative UK plan.
According to the Financial Times, UK officials are mulling the idea of subsidizing all-electric vehicle purchases via guaranteed consumer loans, and is currently in talks with the automotive finance market regarding that potential type of program. The idea is to give EV shoppers the option to secure low-interest or interest-free loans for those vehicles, all in an effort to reduce monthly payments and make EVs more on par with ICE models in terms of cost.
The same report notes that the UK is unlikely to bring back cash incentives for EV purchases due to their high costs, as previously, customers in that country could score £5,000 ($6,217 USD) after purchasing a qualifying vehicle. Regardless, the country is well aware of the need to do something to spur EV sales if it intends to meet its zero-emissions targets, which aim to eliminate the sale of traditional ICE models – save for some hybrids, potentially – by 2030 amid faltering demand.
Last month, UK officials gave automakers eight weeks to submit their opinions on the country’s plans to phase out the sale of new ICE models. Additionally, officials are reportedly asking if this goal is viable at all, and are seeking input on whether or not “flexibilities” included in the current system are sufficiently supporting automotive manufacturers. Regardless, officials have said that they aren’t backing away from the current plan to eliminate the sale of non zero-emissions vehicles by 2030, but rather, they plan to consider additional support measures that would help it meet the goal, as well as determine which type of hybrid vehicles could continue to be sold alongside pure EVs from 2030-2035.
No Comments yet