Thom Groot, CEO at The Electric Car Scheme, has applauded the Chancellor’s decision to retain electric vehicle (EV) salary sacrifice in its current form, following the Autumn Budget.
The Electric Car Scheme also commended the funding of the Electric Car Grant and the Government’s commitment to fund more EV charge points.
Groot said: “The Chancellor’s £1.5bn commitment to electric vehicles should be applauded.
“Further provisions for the Electric Car Grant, investment in electric charging points, and the retention of electric vehicle salary sacrifice in its current form, will help more middle-income working families to access cleaner transport they otherwise couldn’t afford, delivering positive health and societal outcomes that benefit everyone.
“To go one better, it would have been great to see the Chancellor introduce salary sacrifice for solar panel and heat pump installation, assisting homeowners with rising energy bills and encouraging even more households to make the switch to cleaner and greener energy.
“Salary sacrifice schemes have already helped 680,000 drivers make the switch to EVs.
“Last year, 20% of new cars sold were electric and 40% of them were acquired through these schemes.
“Our research shows that employees who have access to EV salary sacrifice schemes are three-four times more likely to make the switch over those without access to financial support – 52% of those who have used EV salary sacrifice are basic rate taxpayers.
“With 51% growth in uptake during 2024 alone, salary sacrifice is rapidly becoming the largest catalyst of EV adoption in the UK.
“It’s fundamentally reshaping how ordinary working families access clean and affordable transport.”
