Research from Deloitte found that 50% of UK consumers would consider an electric vehicle (EV) as their next vehicle purchase, despite lingering concerns around a lack of charging infrastructure.
According to the research, a third of the UK consumers surveyed, all driving-age and planning to buy a car in the next three years, indicated that a lack of charging infrastructure remains the greatest concern when considering the switch to full electric.
However, a mix of favourable government policies and greater consumer awareness on climate change have been catalysts for EV growth to date says Deloitte. With ambitions to meet wider net zero emissions by 2050, and a proposed ban on the sale of polluting vehicles brought forward to 2035, the stage is also set for further adoption.
Jamie Hamilton, head of electric vehicles at Deloitte, said: “Continued investment in charging facilities and overcoming consumer concerns around their availability and accessibility could see the UK surpass the 32% global EV market share by 2030, reaching as much as 65% of the domestic market in the same period."
The analysis continues, stating that a third of all new car sales worldwide will be electric by the end of the decade. This would bring the total number of EVs sold in a single year to 31.1 million globally; ten million more than previously forecast.
In spite of COVID-19 disruption, total EV sales are still expected to reach 2.5 million worldwide in 2020. Based on a compound annual growth rate of 29%, Deloitte’s research estimates this to top 11.2 million in 2025 and 31.1 million by 2030. At this milestone, fully electric vehicles will account for 81% of all new EVs sold according to the research, outperforming their plug-in hybrid peers.
Deloitte identified a key factor in driving EV growth over the next ten years as changing consumer sentiment, as many barriers to adoption gradually dissipate.
Hamilton added: “The price premium attached to many electric vehicles restricted some early adopters but, as the cost of EVs have converged with petrol and diesel equivalents, the pool of prospective buyers is set to increase.
"A wider range of new electric vehicles, combined with a growing secondhand market, means EVs are becoming a more viable option for many. However, overcoming consumer concerns around driving range and perceived lack of charging infrastructure will be important factors as more drivers consider the practicalities of switching to electric.”
Additional factors driving growth include a favourable regulatory environment, be it financial incentives or emissions targets, and the development of new EV models that span both affordable and luxury ends of the market. Similarly, as company cars and fleet continue to represent the majority of all new car sales, a shift to EVs at a corporate level will further the global transition to electric.