EV market is grinding to a halt – there's two reasons why sales of electric cars are falling, finance expert warns | The Sun
A FINANCE expert has revealed two reasons that the EV sales market is "grinding to a halt".
Ben Wright claimed that the electric car industry may be facing a permanent decline amid concerns over mounting costs.
Writing for the Telegraph, he suggested that other technology, like hydrogen power, may become the preferred method to achieve net zero going forward.
He said: "Car insurers are the latest sector to back away from electric vehicles, after the industry decided that underwriters don’t have the knowledge to insure the new models, often fitted with expensive upgrades.
"Meanwhile, the cost and availability of parts is also affecting insurance premiums, causing some annual costs to rocket to £5,000 and some insurers to withdraw from the EV market entirely.
"Insurers are reviewing underwriting criteria but the colossal expense of getting your already-costly EV on the road isn’t necessarily helping the electric car revolution take hold."
READ MORE MOTORS NEWS
MUM'S THE WORD
My mum bought an EV – it made me realise how much I don't want one
LOW SPARK
I've driven thousands of cars – no one wants to buy an EV for these three reasons
The growing insurance bills on top of the already often prohibitive cost of buying a new EV is likely to put consumers off, especially during the cost of living crisis.
A recent slump in demand was all but confirmed when luxury brand Tesla slashed its prices this month in a bid to whip up more business.
The delay on the ban of new petrol and diesel car sales from 2030 to 2035 last month may also have played a factor as the adoption of EVs became less immediately urgent.
Drivers still have grave concerns about issues like charging infrastructure and affordability, which may delay an uptick in purchasing.
Most read in Motors
DELIVER-OW!
Furious cyclist confronts DPD driver for pavement parking… then ‘karma’ strikes
GOOD AS NEW
I’m a car expert – save hundreds by using cheap item to get rid of scratches
TOP RIDE
I’ve made £50k with my car side hustle – I bought TWO new motors with extra cash
FREE OF CHARGE
I’ve been driving EVs at work for 10 YEARS but I would NEVER buy one
Similarly, Ben cited potential issues with the National Grid if the UK rapidly transitioned to fully electric driving.
He said: "An increasing number of battery-powered vehicles… will likely lead to issues with grid capacity.
"These are not insurmountable but the fixes – either new smart grid technology or a huge expansion of existing infrastructure – will be extremely expensive."
Not only do network improvements come at a cost, but they also bring disruption in the community.
Residents of one Yorkshire village claimed they have been forced to deal with "nightmare" roadworks for months to improve a charging station on the nearby motorway.
It comes after drivers were given an urgent warning over EV parking rules that could cost them hundreds.
Meanwhile, a motorist who tested a major car firm's new electric model said it felt "cheap" and made irritating dinging sounds.
Source: Read Full Article