EXCLUSIVE: VAT cut will not support EV adoption, poll finds

The majority of people do not believe that Andy Burnham’s (pictured) decision to cut VAT on energy costs for households will support the transition to electric vehicles (EV), from the 1st October, according to a poll on Motor Trade News, Business Motoring and Business Vans.

The poll, published across all three sites asked, ‘Will the cut in VAT actually support the EV transition?’.

Overall poll results showed that 79% of respondents did not think that the VAT cut is set to support the EV transition, compared to 21% of those who believed it would.

Burnham’s decision to cut the VAT sparked a wider conversation in the industry.

Matt Galvin, managing director of Polestar, said: “The new administration must now extend the five chargepoint grants for households without off-street parking beyond the March 2027 deadline and abolish VAT on public EV charging, which continues to unfairly penalise drivers without a driveway.

“Removing VAT on electricity will widen the gap between the cost of charging at home and using the public charging network from 15% to 20%.”

Vicky Edmonds, CEO at EVA England, added: “Cutting VAT on household energy bills is welcome news. For EV drivers who charge at home, it will make cars that can already save them thousands of pounds even cheaper to run.

The polls were asked across Motor Trade News, Business Motoring, and Business Vans, with the aim to get a wider perspective from retail and fleet industries.