The automotive industry anticipates the Autumn Budget, to be delivered by Chancellor Rachel Reeves, on 26 November.
Autotrader is among those in the industry voicing expectations prior to the Budget.
Ian Plummer, CCO, at Autotrader, said: “The Budget marks a crucial moment for the UK’s transition to electric vehicles and a chance for the Chancellor to end the mixed messages on adoption.
“The Electric Car Grants announced in July were a welcome move to make new EVs more affordable, but duty rates have already added to the cost of running EVs this year and proposals such as pay-per-mile charging risk sending the wrong signal at the wrong time.
“Drivers respond to incentives, not penalties, and anything that increases the running costs of EVs will slow adoption just as we need momentum to accelerate.
“We understand the need to replace fuel duty revenues over time, but any move to cut salary sacrifice schemes risks adding friction when they remain one of the most effective ways for households and businesses to go electric.
“We’d like to see the Chancellor protect salary sacrifice schemes, as well as accelerating charging infrastructure investment, and cutting VAT on public chargers to help level the playing field with home chargers.”
