Are Electric Cars under Pressure - what does the future hold for the UK leasing industry?

What does the future hold for the UK leasing industry-are Electric Cars

The political landscape for moving the UK to electric cars, and vans, needs to be one of positivity, consistency and, above all, logic. Since 2019, the UK has done tremendously well to achieve such uptake in both the business and personal segments but it has very much been in a staccato fashion.

With the Labour Government at the helm, they have inherited a slightly challenging topic, with mixed feelings on when, and how, we should change our vehicles from petrol / diesel to EV. The person at the helm of this project, Louise Haigh, has unfortunately lasted no more than a few months.

Porsche Macan Electric Car Lease UK

As at today the BBC have reported that Heidi Alexander will be the new Transport Secretary, after Haigh was found to have been involved in a historic event involving a mobile phone which was incorrectly reported as stolen in an alleged mugging incident.

Facts aside, the move to another Transport secretary does raise questions about the routes moving forwards and consistency. In an era where many pro-EV businesses (like e-car) are awaiting some definitive paths, it is not wholly welcome.

The ZEV Mandate, which was installed by the Conservative Government, is now being reviewed by the Government. The ZEV Mandate is a firm prerogative for car manufacturers to produce a certain volume of zero-emission vehicles each year. For 2024 this is 22% with next year increasing to 28% and by 2026, this must be a sizeable 33%. Failing to do so will result in fines or penalties under the current rules.

For brands who have failed to engage with EVs properly, or who have resisted this mandate, are now becoming outspoken on the topic. Some are even considering (or actioning) redundancies and restructures within their organisation.

Yesterday the BBC reported that there is “intense pressure” on the investment into EV production, with a 15% output reduction. The article then brings in the stories about Stellantis and Ford closing production down and making staff redundant. There is also an acknowledgement about slowing demand and an absence of incentives to deliver the project.

But does this speak of a terminal industry? Or is this something we expect?

Moving our nation into battery options is no mean feat.

Porsche Macan Electric Estate Car Lease Luxury

This is ultimately a difficult transition, with us having to create a sustainable charging infrastructure in the public network, ensure the national grid is prepared for public and private charging, educate motor dealerships and leasing brokers on how to sell, do the same education on the customers looking to buy or lease an electric car, balance manufacturer needs to profit vs cost-effectiveness of the cars, ensure finance companies are setting

RVs at a practical rate and then ensure the used car industry, including the auctions, are ready. This is without addressing motor insurance, EV tariffs at home, solar and renewable energy for bidirectional charging, charge point location services and Government grants and incentives.

So let that sink in before you get critical. After 9 years of leasing EVs to personal and business customers we have an involved appreciation of the steps which need to be undertaken. While bigger brands like the SMMT/Auto Trader and Fully Charged are trying to create a more positive public reaction, we have essentially been doing this for many years with our unique tools, guides and beyond. In particular our revolutionary EVC™ is a simple and salient facet which answers many of your queries.

EVs are not going away. What needs to be made clear is that there cannot be a reversal of the move to all-electric technology. We are too invested, and progressive, to unearth the plans in place.

What does need to be recognised is that we cannot afford to be lazy or incoherent. While company car and salary sacrifice schemes are enjoying the tax benefits, personal and retail customers are not.

Their rationale for making the move across does need better recognition, with more collaboration required from the various parties expected to deliver this. Leasing brokers in the UK are a conduit for all of this, which is why many of us are so heavily invested in this aspect of the market. Indeed, many of us sell / lease a high proportion of BEVs; well beyond the percentages proffered by the ZEV Mandate.

The Porsche Macan electric car continues the brands Luxury offering

Porsche Macan Electric Car Lease

Car manufacturers like Porsche are well invested in this aspect of the market. Their latest SUV, the Macan Electric, is a true testament to this . You can configure your perfect luxury EV, like the one shown, on their website.

We expect the Macan 4S option to be the most popular with this middle-model including 20” alloys, heated seats, comfort seats, powered tailgate, active bonnet, active suspension management, battery plus, LED headlights, electrically folding mirrors, storage package, interior package, traffic sign recognition, front/rear parking sensors, reversing camera, lane keeping and change assist.

With cruise control, climate control, ambient lighting, wireless phone charging, heat pump and sound package plus. In terms of options consider adding the panoramic roof, adaptive air suspension, sport chrono package, power steering plus, matrix LED lights, adaptive cruise control, air quality system, BOSE surround sound and the passenger display.

But how does the Porsche Macan EV perform?

As per below:

4S Electric - with a usable battery of 96 kWh which offers 330kW (449hp), top speeds of 150 mph and 0-62 times of 4.1 seconds. Real-world ranges suggest a combined 255 miles in colder weather with warmer temperatures to allow for 340 miles (on a full charge). The 11kW AC allows for 0-100% charging times of 10 hour and 30 minutes with the 270kW DC enabling 10-80% in 22 minutes. The Macan has no Bidirectional charging. It has a 126 mpg equivalent, 540L cargo volume and offers towing capacities of 750kg (unbraked) and 2000kg (braked).

Porsche Macan Electric Car Lease Interior