Carmakers urged to introduce a battery lease scheme for used EVs to boost RVs
Wright reckons that the main reason for low resale values and dealer anxiety on EVs is the lack of information released by manufacturers about the cost of maintaining or replacing batteries when a car hits the market at between four and 10 years of age. Currently buying new replacement batteries could cost £8,000-£10,000, a figure far in excess of the likely value of a used electric car.
In response, he says manufacturers must launch a flexible leasing and warranty scheme for when batteries reach the end of their optimal life. Offering a scheme where batteries can be replaced and leased for £40-100 a month would immediately give drivers peace of mind and boost new and used sales. Reconditioned batteries in line with the demand for older and cheaper used EVs should also be a consideration. However these won’t be available until market growth creates a demand for them.
Wright said: ‘Residual values are based on market confidence and by introducing flexible and affordable battery lease schemes in line with the price bracket of the vehicle on the forecourt, we believe manufacturers will protect residual values and gain the final thread of confidence to make EVs a long-term success in this country.
‘Manufacturers must remember the importance of sustaining strong older RVs , because RVs are built from the ground. By looking after your 10-year RVs they will look after your eight to six and four to two. Shoreham Vehicle Auctions witness performances of used vehicles under the hammer on a daily bases and as such knows what buttons to press in order to keep RVs high and maintain a strong demand for specific vehicles.
‘The new electric car market is growing, but manufacturers must look to when these cars move into the second hand market and if they look after the needs of the used car buyer of seven to 10 year old models, then the longer term needs of buyers of three to five year old cars will look after themselves.
‘Ensuring used buyers are given enough information and support will ensure the market continues to grow. The benefits of electric vehicles are plentiful and with customer perceptions changing for the good, manufacturers need to act quickly to ensure this level of positivity continues,’ he added.