[Quercus]

Been reading an article in The Times today about the removal of Claire Perry O'Neill from the job of president of the upcoming UN climate summit (COP 26) in Glasgow later this year. It had the following paragraph:

'The government’s subsidy scheme for electric cars is due to end next month and Baroness Brown of Cambridge, a member of the Committee on Climate Change, said it needed to be extended by several years and topped up with hundreds of millions of pounds if the government was serious about achieving such a rapid transition.'

'due to end next month' - have I missed something?!

 

[andrew*debbie]

They will probably extended it again, perhaps with an even lower or zero PHEV grant.

 

[srichards]

I think they should get rid of the PICG and offer 0% HP finance over 5 or 6 years on new EVs and 4 years on second hand ones instead. PICG doesn't reduce the cost of buying the car as the manufacturers just hike the price by whatever the PICG is.

 

[WonkoTheSaneUK]

I think they should get rid of the PICG and offer 0% HP finance over 5 or 6 years on new EVs and 4 years on second hand ones instead.

You mean like Scotland already does?

 

[srichards]

Yes. Like Scotland. I do think making second hand EVs more affordable and getting folk away from PCP finance is also prudent.

 

[proddick]

They will probably extended it again, perhaps with an even lower or zero PHEV grant.

Eh? There hasn't been any PHEV able to get PICG once i3 REX was disconnected. To qualify a PHEV must have 70 mile range (presumably now WLTP) and less than 50g CO2.

 

[GazC]

I would love to see a loan like they have in Scotland come.south of the border as it would allow me to get into a full EV. Annoyingly being a Scot that is now living south of the border I missed this before I moved.

 

[proddick]

It will be interesting to see what they do to increase private uptake. Maybe start increasing fuel duty again and stop pandering to people? Or will UK public turn all Yellow Vest on them if they do?

Copying the Scottish interest free loan is worth considering, but it would need to be done via a help to buy type scheme. The treasury won't want to be lending money to the public.

I guess PICG could be stopped on higher value cars? Many people argue that those able to afford £100K Tesla or Porsche probably don't need it. Hopefully not £40K as that would screw things up.

 

[njm106]

I suspect it will get renewed but lowered to £2,500 and maybe capped at 40 or 50k.

If they do get rid of it completely though but replace it with 0% loans that would be ok, maybe even better but I could see dealers trying to pretend that the 0% is their own offer so "we can't give you any discount sir!"

Having said that maybe the big stick of fines for manufactures co2 emissions mean the prices will come down anyway.

 

[andrew*debbie]

I would love to see a loan like they have in Scotland come.south of the border as it would allow me to get into a full EV.

You can get a loan at 3.1% from Tesco Bank. TSB advertise 2.9%. That interest on £25,000 over four years is just under £900.



Changing the PICG to a zero interest loan would be a much smaller subsidy.

 

[andrew*debbie]

If they do get rid of it completely though but replace it with 0% loans that would be ok, maybe even better

Zero interest loan is a much smaller than the PICG.

I've seen no evidence that manufacturers inflate prices by the grant amount.

I've seen exactly the opposite. For a few months the Outlander PHEV Commercial van qualified for the PIVG while the car version did not. During this time, an Outlander Commercial lease was significantly cheaper than the car. When the van grant ended, the price went up.

 

[njm106]

Those advertised rates are usually representative so it depends a lot on your credit history and how the bank is feeling on the day, typically car finance rates are around 5% APR which over 6 years is nearly 4k in interest.

Obviously the government grant applies to every car going so benefits everyone regardless of their credit history but I can understand why the grant annoys some people both inside and outside government. I've heard a few people moan about why someone buying a Tesla should get a grant for example. However loan on the other hand, even if its interest free, would probably be more acceptable.

 

[Rei]

With the long order and pre order times in EVs it's going to be a problem if they change it.

 

[proddick]

With the long order and pre order times in EVs it's going to be a problem if they change it.

For a confirmed order where the dealer has booked the current grant on the portal, customers will get it. At risk are people with reservations, such as ID3. I would also worry about Tesla as not sure how organised sales are with the grant - or much to be honest

Last time around they gave a few weeks and a cap on old scheme applications but the cap was hit very quickly with people rushing to order - it was £1000 difference.

 

[andrew*debbie]

Committee on Climate Change

Did anyone else hear Lord Deben on Radio 4 last night? He was talking about extradition, but oh dear. I did not get a positive opinion. Neither did Debbie. One gets the feeling he does not understand diplomatic immunity. He also has a very strange way of pronouncing HP.


I looked him up later and found he is Chair of on the Committee on Climate Change. Oh dear.

PM - 05/02/2020 - BBC Sounds Starting around 41:25.

Members of the Committee on Climate Change - Committee on Climate Change

Find out about our expert members.

www.theccc.org.uk

 

[Rei]

For a confirmed order where the dealer has booked the current grant on the portal, customers will get it.

Not just the ID3 though, for example all the Honda e pre-orders are not booked for the grant yet. Demo cars will be available in March and the plan was to make a decision then. And these dealers are new to this so it might take them a while to sort it out.

 

[proddick]

Not just the ID3 though, for example all the Honda e pre-orders are not booked for the grant yet. Demo cars will be available in March and the plan was to make a decision then. And these dealers are new to this so it might take them a while to sort it out.

Yeah, it isn't on the OLEV list yet. Hopefully soon...

Low-emission vehicles eligible for a plug-in grant

Check which electric (plug-in) and hybrid cars, vans and motorbikes are available for a grant.

www.gov.uk