The Daily Telegraph

Electric car subsidy cuts ‘crazy’

- By Laura Onita

THE boss of Halfords has hit out at a “crazy” decision by Grant Shapps to scrap electric vehicle subsidies amid soaring fuel prices.

Chief executive Graham Stapleton demanded a rethink of the policy after the price of petrol and diesel hit another record high this week.

The Transport Secretary unexpected­ly scrapped the £1,500 subsidy for buying new electric cars, on Tuesday.

The Government will use the money saved from the closure of the scheme to fund public charging infrastruc­ture, which it called “the main barriers to the electric vehicle transition”.

Mr Stapleton warned the decision will hit those on lower incomes the hardest and slow the electric car revolution. He said: “The customers that most need the help and the subsidy to get into the electric car market have seen that removed during the cost of living crisis. The Government is apparently trying to help customers save money and this obviously would because it moves fuel and diesel cars into electric. At the same time they’re committed to reducing the carbon footprint.

“It just feels crazy to remove this at a time when that is so important and businesses like ours and others are investing in that electric transition.

“We’re super disappoint­ed with it, we think it’s bad timing, it’s the wrong call. It came out of absolutely nowhere, it just makes absolutely no sense to us at all.” He will write to Mr Shapps to ask him to reconsider.

Mr Stapleton is one of several industry figures to condemn the move.

Mike Hawes, chief executive of the Society of Motor Manufactur­ers and Traders, said it “comes at the worst possible time”. Edmund King, AA president, said: “The plug has been pulled at the wrong time.”

The scheme has provided £1.4bn to motorists and facilitate­d the purchase of half a million electric and hybrid vehicles since 2011. It initially started at £5,000 and was designed to narrow the cost between electric and petrol and diesel cars. It was repeatedly cut before being scrapped this week.

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