July 14, 2025
4 mins read

Labour to make electric cars cheaper

Transport Secretary Heidi Alexander says Labour will soon make electric cars more affordable, amid reports of a £700m plan and growing criticism over charging access.

The government will soon unveil plans to make electric vehicles (EVs) more affordable for British drivers, Transport Secretary Heidi Alexander has confirmed, amid growing pressure to boost EV sales before the looming 2030 ban on new petrol and diesel cars.

In an interview with BBC, Alexander said the government was preparing to “make it cheaper” for people to buy electric cars, although she declined to confirm whether this would include direct taxpayer-funded subsidies, as reported. Her comments come after The Telegraph revealed that Labour may be planning a £700 million package to incentivise EV purchases.

“We will be making some announcements later this week on how we make it more affordable for people to buy an electric vehicle,” Alexander said, though she would not elaborate on whether this would involve grants or other financial incentives.

Pressed further on whether Labour would follow the US in offering consumer subsidies to drive EV uptake, Alexander said only that she “can guarantee” that the forthcoming measures will reduce costs for those “who do want to make the switch.”

The Department for Transport declined to comment ahead of the official announcement.

Infrastructure Boost for a Fairer Rollout

The minister pointed to a £25 million fund to help councils install “cross-pavement gullies,” allowing residents without driveways to safely charge EVs at home. This measure targets the growing disparity between drivers who can charge at home cheaply and those relying on public infrastructure—which is often more expensive and less accessible.

An additional £63 million has also been allocated to expand the UK’s charging network, with a focus on clearer signage for EV hubs on major A-roads, in a bid to combat so-called “range anxiety”—the fear of running out of charge without easy access to a charging point.

“This is about removing barriers—cost and convenience are the big ones,” Alexander told The Telegraph, acknowledging that for many families, the upfront price of EVs and a lack of charging options remain significant deterrents.

Price Gap Sparks Political Tensions

Currently, the average new electric car costs around £22,000—nearly double the price of a typical petrol model. While lower-cost EVs from Chinese manufacturers are beginning to enter the UK market at around £18,000, they remain out of reach for many.

Conservative MP Richard Fuller, the shadow chief secretary to the Treasury, criticised the government’s approach, accusing Labour of “forcing families into more expensive electric vehicles before the country is ready.”

Alexander rejected that characterisation, arguing that the government must act “in the round,” addressing both affordability and charging accessibility to support long-term uptake.

Public Hesitation and Personal Reality

The minister admitted she does not currently own an electric vehicle herself, citing the common barriers faced by millions of urban dwellers in terraced housing without off-street parking.

“I don’t have an electric car,” she said. “Like millions of people in this country—I bought a new car about six years ago. I’m thinking about the next car that I will purchase and it will definitely be an electric vehicle.”

That admission resonated with criticism from industry advocates who argue that decision-makers are disconnected from the everyday realities of EV ownership. Motoring journalist Quentin Willson, speaking to BBC Breakfast, claimed the government had been “far, far too slow” in addressing basic challenges such as infrastructure and signage.

AA president Edmund King welcomed the investment but stressed that action must accelerate. “Moves like this are vital to build confidence in the EV transition,” he said.

Sales Lag Behind Targets

Despite a government mandate for carmakers to phase out petrol and diesel sales by 2030, electric vehicle uptake remains slow. According to the Society of Motor Manufacturers and Traders (SMMT), EVs accounted for around 20% of new car sales in the first half of the year—well short of official targets.

In April, the government eased compliance rules, giving manufacturers more flexibility to hit annual quotas while avoiding steep fines—concessions made partly in response to global trade challenges and tariffs on imported vehicles.

While Labour’s forthcoming announcement may provide more clarity on financial support for consumers, industry leaders continue to call for a joined-up national strategy that addresses pricing, infrastructure and public engagement in tandem.

For now, the success of Labour’s promise to make electric cars truly accessible could depend not only on what is announced this week—but on whether it can reach those drivers who, like Alexander, are still waiting for a better reason to make the switch.

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