Zero Emission Vehicle Mandate

Bill Esterson Excerpts

Monday 7th April 2025 Commons Chamber

[Heidi Alexander]

I assure the hon. Gentleman that the Government keep the VAT variation between public and private charging under review. The 20% standard rate to which public charge points are subject applies to most goods and services, with very few exemptions. We are trying to give people low-cost and affordable options for public charging by investing £380 million to roll out overnight chargers, which are cheaper and will be installed to help those without a driveway. Today, Brighton & Hove City Council confirmed that it had signed the contracts to deliver 6,000 of those chargers, and in February Midlands Connect announced that it was rolling out more than 16,000 across the midlands, helping drivers to charge their vehicles for less.

The hon. Gentleman asked me whether today’s announcement was a response to the consultation that we launched at the end of December, which closed in February. It is indeed a Government response to that consultation. As for the discussions that we will have with European colleagues, we will continue those discussions. Although the hon. Gentleman tried to tempt me into giving him a commitment to rejoin an EU customs union, I am afraid that that is not a commitment I can give.

[Bill Esterson (Sefton Central) (Lab)]

On behalf of those of my constituents who work at JLR Halewood, I thank my right hon. Friend for the stability and confidence that she has given to our automotive industry; it will be enormously reassuring to them. The last Government confirmed through Mark Harper, the then Secretary of State, that it was already cheaper for drivers to switch to electric vehicles—he did so from the Dispatch Box this time last year. For those of us who are able to plug in at home, it is cheaper by up to £1,000 per family, as she said in her statement. May I encourage her to work with the Energy Secretary on reducing the cost of electricity more widely to benefit those of us who cannot plug in at home, and to improve consumer demand, which is so crucial to supporting our manufacturers?

[Heidi Alexander]

I can assure my hon. Friend that I will continue to work across Government with colleagues in the Department for Energy Security and Net Zero, and in the Department for Business and Trade, in order to make the take-up of EVs as affordable as possible for individuals who want to make the transition. He is entirely right to point out that, compared with a petrol car, drivers can save up to £1,000 a year if they mostly charge at home, and that an EV can be run for as little as 2p per mile if charged at home. Half of all used electric cars are now sold for under £20,000, and there are 29 brand-new electric cars on the market for under £30,000.