EY Report: UK Drivers Losing Interest in ICE Cars
UK consumer interest in electric vehicles is on the rise, with a clear shift away from petrol and diesel vehicles, according to the latest Mobility Consumer Index by EY. The data reveals a significant increase in the intent to purchase electric vehicles, reflecting changing consumer preferences and concerns about the environment, fuel prices, and penalties associated with internal combustion engine vehicles.
Specifically, 59% of UK respondents planning to buy a vehicle in the next two years are considering a battery electric vehicle (BEV), hybrid electric vehicle (HEV), or plug-in hybrid electric vehicle (PHEV). This is higher than the global average of 58%, indicating a strong trend towards electric vehicles in the UK market.
Of those surveyed, 23% expressed a preference for a BEV, 27% for an HEV, and 10% for a PHEV. In contrast, only 36% of UK respondents are considering purchasing a traditional internal combustion engine vehicle, demonstrating a clear decline in interest for petrol and diesel cars.
The main driving force behind the increased interest in electric vehicles is environmental concerns, with 35% of respondents citing this as a primary factor. High fuel prices (31%) and rising penalties on internal combustion engine vehicles (27%) are also influencing consumer choices.
Despite the growing interest in electric vehicles, there are still barriers to widespread adoption. Upfront purchase costs remain a key concern for 37% of survey respondents, while the availability of charging facilities is a worry for 23% of participants. However, the number of respondents concerned about the lack of charging stations has decreased significantly since 2023.
Another emerging issue is the cost of battery replacement, with consumers expressing uncertainty about the financial implications of replacing electric vehicle batteries. To address this concern, Maria Bengtsson, head of mobility at EY UK, suggests offering competitive Battery-as-a-Service (BaaS) options to make electric vehicles more accessible.
On a positive note, the research shows that once consumers make the switch to electric vehicles, they are unlikely to go back. 88% of current EV owners planning to purchase another vehicle are inclined to choose an electric vehicle again.
Dealerships play a crucial role in the vehicle buying experience for private drivers in the UK. More than half of respondents prefer to purchase new cars from a dealership or showroom, highlighting the importance of physical retail experiences. While online purchasing is gaining popularity, with a third of respondents preferring this method, the research underscores the ongoing need for a balance between physical and digital retail experiences.
EY’s Mobility Consumer Index, based on surveys of 19,000 respondents across 28 major auto markets worldwide, provides valuable insights into consumer preferences and trends in the automotive industry. As interest in electric vehicles continues to grow, it is essential for policymakers and industry stakeholders to implement incentives and solutions that support the transition to electric mobility.