Labour loan plan to boost electric cars
FIRMS LIKE NISSAN SET TO BENEFIT
A Labour government would offer motorists interest-free loans to buy electric cars, Shadow Business Minister Ed Miliband will announce.
It’s part of a plan to boost the car industry by helping manufacturers as they switch to building electric vehicles.
Nissan has been a world leader in the production of electric vehicles, manufacturing more than 195,380 electric Leafs at its Sunderland plant.
However the entire automotive industry is facing challenges worldwide, and industry body the Society of Motor Manufacturers and Traders (SMMT) this month downgraded its expectations for the year, following the worst February for car sales since 1959.
Mr Miliband will say: “To back the car industry and create jobs, Labour would bring forward ambitious proposals to spark an electric vehicle revolution in every part of the country.”
Plans include making electric vehicle ownership affordable by offering interest-free loans for new and used electric vehicles to those on low to middle incomes to remove the upfront cost barrier; and trialling a national scrappage scheme.
A Labour government would also back the proposed electric car battery “gigafactory” planned by firm Britishvolt on the site of the former Blyth Power Station – and support the creation of three further gigafactories by 2025.
Giant factories to make batteries for electric vehicles (which are not the same as traditional car batteries) are seen as vital for the future of the nation’s car industry.
The Government has promised funding of £500m to develop gigafactories, but has not so far awarded the money to specific proposals.
And a Labour government would make it easier for people to drive an electric vehicle, wherever they live, by accelerating the roll-out of charging points on streets.
Mr Miliband will say he wants to make owning a zero emission vehicle possible for every motorist.
In a speech today, he will say: “By extending the option to buy an electric car to those on lower incomes and accelerating the roll-out of charging points in regions that have been left out, we would ensure that everyone could benefit – rather than bake in unfairness.
“And we would invest in securing the industry’s future. While it’s right that government has said the sale of new petrol and diesel cars will end, it’s wrong it is imposing a massive transition on our manufacturers from Whitehall then washing its hands of responsibility.
“It’s not fair, it will damage our manufacturers, and it will mean losing out on the chance to be the world-leader in the electric vehicle market. Labour would back our manufacturers and the communities with proud histories in the industry, but the Government is asleep at the wheel.”