Drivers who switch from petrol cars to electric vehicles have been given a reassuring update as the UK's EV charging industry is projected to generate £15.5 billion for the economy over the next ten years.
Economic Impact of EV Charging Industry
A study conducted by LCP Delta and commissioned by ChargeUK estimates that buying an electric vehicle could contribute as much as £385 billion to the UK economy by 2035. By that year, the EV sector is expected to generate £27 billion annually, placing it on a similar level to today's telecommunications and broadcasting industries.
The charging industry currently employs more than 12,000 people across the UK, a figure that is expected to rise to almost 36,000 by 2035.
Industry Leaders Call for Stable Policy
John Murray, head of EVs at LCP Delta, said: "As a cornerstone of the UK's EV transition, the charging sector requires a clear and predictable pathway for growth, one that supports continued investment, keeps pace with rising demand, and enables operators to build sustainable businesses."
Vicky Read, chief executive of ChargeUK, urged the government to maintain strong policies: "The government now has to choose. It can once again fold to voices calling for a slower transition, locking drivers into high petrol prices for longer and collapsing charging investment. Or double down to supercharge the transition with a stable ZEV mandate and lower cost public charging."
Net Zero Economy at Stake
Colin Walker, Head of Transport at the Energy & Climate Intelligence Unit, highlighted the broader economic benefits: "As well as being scientifically the only way to stop climate change, net zero has now become a major part of the UK economy. Recent analysis has found that the UK's net zero economy now underpins the jobs of 1.1 million UK workers, who together contributed £105 billion to the UK economy.
"With UK EV sales on the up, it is clear that the country's charging industry is becoming an increasingly important part of this net zero economy, generating billions in economic output and employing tens of thousands of people.
"Yet its contribution to the growth of the British economy could be undermined if the government bows to calls by parts of the car industry to weaken its EV targets. Not only would this keep people stuck driving more expensive petrol cars at the height of an energy crisis, and weaken the UK's energy security by keeping us dependent on oil imported from abroad, it would put billions of pounds of investment by the charging industry at risk, and threaten thousands of the jobs that the sector is poised to employ.
"Weakening the mandate could also further incentivise the sale of plug-in hybrids, which have been found to not only cost more to buy than an electric car, but also to consume five times more fuel, and cost hundreds of pounds more to run every year, than their manufacturers claim."
