Jamie Hamilton, automotive partner and head of electric vehicles at Deloitte, said:
“The additional financial pressures of the festive period may have discouraged the purchase of big-ticket items, therefore affecting new car sales for December, but demand for electric vehicles remain strong.
“Looking ahead to 2025, the industry will be hoping for inflation and supply chain pressures to ease, not least because the heavy discounting incentives used to drive uptake over the last few months looks unsustainable.
“There is also hope within the industry that the government's ongoing consultation on the Zero Emission Vehicle Mandate will provide much needed clarity and commitment. However, with the Zero Emission Vehicle target increasing to 28% in 2025 there will likely be greater pressure on manufacturers who are already under strain.
“Whilst the industry has invested heavily in electric vehicles, a successful transition requires a supportive policy environment. This includes not just providing clarity on 2030 targets, but also providing incentives to encourage adoption and addressing critical issues such as expanding and developing charging infrastructure. The next 12 months will be crucial for the sector as it navigates these challenges and opportunities.”
ENDS
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