Britain’s second-hand electric car market has shifted into high gear, with sales of used battery electric vehicles hitting record highs in the first quarter of the year as buyers battling high pump prices are forced to reassess the cost of transport.
Figures published by the Society of Motor Manufacturers and Traders (SMMT) show that 86,943 clean electric vehicles changed hands between January and March, a 32 percent jump on the same period last year and the strongest quarterly performance since records began. Battery electric models also took a record 4.3 percent share of the used market, bringing the technology closer to mainstream.
The biggest headline for EV growth has come against a much lower base for the broader sector. SMMT reported that just over 2 million used cars in total changed hands in the first three months, leaving the mass market flat. That comparison underscores the speed with which the electrification thesis is now reaching mainstream decisions in the field, especially among private consumers and small business owners weighing the total cost of ownership.
Mike Hawes, chief executive of the SMMT, said the surge reflected an increase in affordable electric stock returning to the market three or four years after the first significant wave of EV registrations. He warned, however, that the trajectory remains dependent on continued policy support for the new car market that ultimately provides them.
“Increasing choice for manufacturers is entering the used electric vehicle market,” said Mr Hawes. “High fuel prices, given the conflict in Iran, may increase demand even more but to maintain this momentum, all financial and policy branches must be pulled to ensure a healthy new car market that brings zero-emission vehicles that may move to the used market in the future.”
His comments will be closely read in Whitehall, where ministers are under pressure to revisit incentives for private buyers and company car schemes, which have so far done much to boost EV adoption. As the Zero Emission Vehicle (ZEV) mandate continues to increase the share of electric vehicles manufacturers must sell, any softening in demand for new vehicles will, in current circumstances, end up squeezing the supply of nearly new EVs that small businesses and private drivers are increasingly seeking.
Ian Plummer, chief customer officer at Auto Trader, said the data is consistent with the behavior his platform already sees in consumers. “The real story is how the market is developing, especially in terms of electrification. Used EV transactions are increasing, and market share is increasing. That shows what we see on our platform, where almost one in four used inquiries are about electric models that are less than five years old,” he said.
“Rising pump prices, driven by global instability, are causing many people to re-evaluate their operating costs, helping to accelerate this transition even further.”
For SME owners who use pool cars and small fleets, the figures will sharpen an already depressing figure. As gasoline and diesel prices are again affected by national risks, the gap between court costs and charging at home or at the depot is widening, while the development of used EV residues reduces the long-standing resistance to making the change. Whether the government can keep the pipeline of new cars flowing strong enough to maintain that supply, however, remains a question that hangs over the second half of the year.
