Mitsubishi Outlander PHEV
Not scared of grant cut
The Mitsubishi Outlander PHEV can continue to thrive despite the Government’s “counterintuitive” decision to axe grants for hybrid cars, according to Mitsubishi UK boss Rob Lindley.
The Outlander PHEV is the Japanese firm’s bestselling car in the UK and has dominated the plug-in hybrid sales market, with its success partly driven by a now-removed £2500 grant, along with tax breaks.
Mitsubishi spoke out when the Government removed grants for plug-in hybrid models despite a pledge to make all new cars electrified by 2040. Lindley reiterated that removing the grant was a “poor decision” that was “counterintuitive to government policy” encouraging green cars. While he added that it was still too early to say what impact the removal of the grant would have on sales, he said he wasn’t concerned about it harming demand for the model, particularly given the rapid growth of electrified cars and the decline of diesel.
Lindley added: “If you’re a diesel SUV driver thinking about what your next car is going to be, even without the grant the Outlander PHEV will be in your consideration if you want an SUV with a reasonable level of efficiency, because you’ll struggle to find another diesel SUV.”
Lindley said he wasn’t concerned by the increase in rival plug-in hybrid SUVS, noting that the Outlander PHEV was currently the only such model on the market emitting less than 50g/km of CO2, meaning it qualifies for a reduced rate of tax.
A SHARP RISE in demand for hybrid and electric cars helped to stabilise the UK’S new car market following a tumultuous few months, according to the latest data from the Society of Motor Manufacturers and Traders. In total, 153,599 new cars were registered in the UK in October, a year-on-year decline of 2.9%. Demand for diesel cars continued to fall sharply, with a 21.3% year-onyear drop. That was partially offset by a 7.1% rise in petrol cars and a 30.7% increase in registrations of alternatively fuelled vehicles. That included an 86.9% year-on-year increase in electric car sales, along with rises of 31% for hybrid models and 19.1% for plug-in hybrids.
The sharp increase in demand for electrified vehicles is likely to be linked to the Government’s announcement in October that it would the reduce subsidies available for such cars from this month.