Electric cars not selling because of high prices as drivers still prefer petrol and diesel

New data has found that drivers are put off from electric cars because of charging points, range anxiety and high prices, according to Bloomberg Intelligence.

This is despite lofty goals from the UK Government and governments around Europe who are pushing for electric car sales.

Sales of new petrol and diesel vehicles will be banned in the UK from 2030, followed by a similar ban affecting hybrid vehicles five years later.

Michael Dean, Senior Autos Analyst at Bloomberg Intelligence, commented on the data and highlighted what the main stumbling blocks for drivers are.

He said: “Europeans continue to favour internal combustion engine (ICE) models – including hybrids – and not the battery electric vehicles (BEVs) promoted by policymakers, posing a potential stumbling block to pure-plays like Tesla.

“The lack of charging stations and range top concerns, with high prices and falling subsidies also deterrents.

“Tesla is nevertheless in pole position on buyers' wish lists, alongside Audi, Mercedes and BMW, but less than 10 per cent of buyers seeking (or willing to pay extra for) autonomous-driving features, puts a potential cap on the sector's lofty software-profit ambitions.

“The good news for EU automakers is that brand loyalty remains high, though extended delivery waiting times are forcing some switches.”

Average prices of new electric cars are seen as being “too high” for 83 per cent of survey respondents, with 19 per cent saying they would delay buying until the cost fell.

Most new electric cars in the UK start from £30,000, a figure seen as far too expensive for many motorists, especially during the cost of living crisis.

​Average prices of EVs have fallen in the UK since a peak in December 2022, but have only dropped five per cent, compared to larger price decreases of 13 per cent in France and 14 per cent in Germany.

Brand loyalty is also an important factor for motorists to consider when they are buying a new car, with 61 per cent looking to stay with the same brand.

Michael Dean added: “Brand loyalty is key for legacy automakers to shield their market share against the rising threat of new entrants such as Tesla and lower-cost imported Chinese battery-electric vehicles.

“Automakers need to boost consumers' confidence in their autonomous-driving features to achieve ambitious software-revenue targets by the end of the decade. As price is key for potential buyers, technical performance is often a secondary issue.

LATEST DEVELOPMENTS:

• Drivers face massive car insurance losses with urgent number plate warning
• Volkswagen offers drivers £4,500 lifeline after Sadiq Khan's disastrous Ulez expansion
• UK drivers risk huge £1,000 fine and penalty points for not wearing sunglasses during heatwave
  

“Consistent with this finding, it appears that European consumers aren't entirely comfortable using autonomous-driving features yet.”