BVRLA: Ready to make some noise
Date:
08 August 2013
"We need to develop the consumer end, the cars need to be affordable and people need to buy," he says, describing the benefit-in-kind concessions announced in chancellor George Osborne's most recent Budget as "positive", but he called for more "creativity" with the incentives, pointing to countries such as Norway, where electric vehicles are allowed to park for free in cities.
"What sort of whole-life incentive is there for the car - there's nothing included at present allied to the whole-life cost," he comments, calling for something "more credible than a crude discount up front" of £5000 when the vehicle is purchased.
"If I'm in the secondary market for this car then what does it mean for me? There is no confidence in what the RV of electric vehicles will be. A lot of work needs to be done in that arena."
He speculated that a more creative approach to incentivising could include capital allowance incentives to help leasing companies.
"Not necessarily 100% capital allowance, maybe 80% or 90%, but not 50%," Keaney suggests. He also criticises the Government's £5000 grant for the purchase because it isn't taken into account with company car benefit-in-kind, making a severe difference to driver's bills from April 2016 when BIK bands begin to ramp up for low-emission vehicles.
The BRVLA's new leader recognises that his new role as a figurehead for the industry will encompass many challenges.
"A lot is going on within the sector - it's a very full agenda," he reflects. "If you looked at the leasing sector, I've always been rather impressed with how they organise sales, how the big players run their business. It's good to get on this side of the fence now, having been with a supplying company for 20 years."
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