Britain to introduce $2 billion package to help switch to EVs

LONDON (Reuters) – The British government is expected to present a 1.5 billion pound ($2 billion) package to accelerate the switch to electric vehicles, including an extra 1.3 billion pounds for a grant scheme to buy new electric cars.

Since its launch in July, the Electric Car Grant scheme has helped more than 35,000 drivers switch to an EV by reducing up-front costs by up to £3,750, the government said.

The government said the budget, due on November 26, is expected to announce an additional £200 million to accelerate the rollout of charging points across England.

The UK wants to phase out sales of new petrol and diesel cars by 2030 as part of its target to reach net-zero greenhouse gas emissions by 2050. However, demand for electric vehicles has stalled as consumers cite high upfront costs as the main obstacle.

The opposition Conservative Party criticized the move.

“Ordinary families face rising taxes and rising inflation under Labour, but the government’s priority is to give discounts on new electric cars,” said the Conservatives’ transport policy chief, Richard ⁠Holden.

“This is exactly the kind of tone-deaf, big-spending nonsense we expect from a Labor government.” ‌

($1 = 0.7639 pounds)

(Reporting by Elizabeth Piper, Editing by Mark Potter)