New government funding for workplace and residential on-street charge points will help drive fleet take-up of ultra-low emission vehicles (ULEVs) but more action is needed on tax and in-life incentives for vehicles, according to the BVRLA.

Gerry Keaney says businesses will only be able to continue leading ULEV take-up with fiscal support from the Government

Commenting on last week’s announcement of a £35m package to support the ULEV market, which includes £10m of funding for workplace and residential on-street charge points, chief executive Gerry Keaney said: “We are delighted that the Government has listened to our call for support with workplace charging. Fleet buyers and company car drivers are leading the uptake of plug-in electric vehicles, with businesses responsible for 72% of electric vehicle registrations in the first half of this year, according to SMMT figures.

“The ability to charge at work is a massive incentive for many people that are looking to ‘go ultra-low’.”

The BVRLA also highlighted that the leasing sector is leading the way on ULEV adoption. Some 4.2% of BVRLA members’ vehicles are electric and 3.7% of their new registrations in Q2 2016 were pure electric or plug-in electric cars – well ahead of the overall market trend for new car registrations.

Keaney added: “Businesses will only be able to continue this growth with fiscal support from the Government. Workplace charging is a very positive step, but there is a lot more that policymakers can do.

“We need them to narrow the CO2 gaps between tax bands at the lower end of the company car tax scale and make a bigger commitment to in-life incentives for users of plug-in electric vehicles. Employers also need more clarity on how they should treat business travel reimbursements for electric mileage.”