What growth there is has come from the fleet sector. Driven by fiscal incentives such as company car
tax and salary sacrifice, they account for 77% of new ZEV registrations. Proof that incentivisation works
A fair transition for private consumers would afford similar support:
• Create a strong fiscal incentive for private consumers such as halving VAT on new ZEV purchases
for three years to put more than two million new ZEVs on the road by 20286
• Amend the Vehicle Excise Duty regime’s treatment of ZEVs and, in particular, the Expensive Car
Supplement to avoid unfairly penalising buyers
• Equalise VAT on public charging to match the 5% home charging rate, and mandate infrastructure
targets to support those who cannot charge at home – both key commitments in Labour’s manifesto
• Maintain and extend the business incentives that are working, including Benefit in Kind rates helping
fleets to renew and supporting company car buyers and those able to access salary sacrifice
schemes
• Maintain and extend the plug-in van and taxi grants, which are due to end in March 2025, and
ensure van-sized public chargers are made commonplace