British consumers are increasingly considering buying electric vehicles (EVs) in the wake of surging petrol prices, caused by the spiralling cost of oil due to the Iran war.
There are nearly two million EVs on UK roads, with data suggesting drivers will collectively pay £1bn to run them over the next 12 months – around £1.5bn less than petrol or diesel vehicles.
Brent crude oil has gone up more than 50 per cent since the end of February when the US and Israel first launched attacks on Iran, sparking chaos across the Middle East and effectively closing the Strait of Hormuz, a key oil and gas shipping route.
Petrol prices have risen to be almost £14 more expensive for a full tank compared to before the war, the RAC says, while a full tank of diesel is almost £27 more.
That has pushed people to seek out alternatives with enquiries for EVs up by almost a quarter (23 per cent). For used EVs, searches are up by nearly a third (30 per cent) since the start of the conflict, data from Carwow shows.
Across the same period, enquiries for petrol and diesel vehicles have not dropped or risen, perhaps suggesting that consumers are comparing and investigating whether they would be better off switching to EVs, rather than completely abandoning fuel-run cars.
Analysis by the environmental think tank Green Alliance suggests the 1.9m EVs in the UK will cost £1bn to power over the next year, based on charging from a standard anytime electricity tariff.
Those same cars would cost £2.5bn if they used petrol or diesel, according to the research.
“Our analysis shows that families and businesses who chose electric cars in record numbers last month could save significantly this year,” said Charles Long, senior political adviser at Green Alliance.
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“To see the long-term benefits of cleaner, cheaper electric driving, the government should keep this momentum going – and they should resist constant reviews of the policies that have made the UK an attractive market for electric cars.”
Colin Walker, head of transport at the Energy and Climate Intelligence Unit, added that EV drivers are “shielded” from future energy price shocks which impact oil, and urged the government to double down on the transition to electrification.
“Rising costs at the pump will add hundreds of pounds to the running costs of the average British driver, highlighting the impact of our dependence on volatile energy markets over which we have no control,” he said. “Meanwhile, many of the drivers of the 1.8m EVs now on the UK’s roads will be shielded from these price shocks. Is it any wonder that we’re seeing a surge in interest in EVs, both in the UK and abroad?
“Accelerating the transition to EVs – increasingly powered by electrons generated by British wind and solar farms – is the best way the UK can end its dependency on foreign oil, and protect its drivers from these sudden spikes in fuel costs.”
As well as the vehicles themselves, people are increasingly looking to inform themselves how best to run and make use of EVs.
“The data points to a clear shift in car-buying behaviour. As fuel prices rise, more drivers are seriously considering making the switch to electric, but they’re also doing their homework,” explained Siobhan Doyle, consumer writer at Carwow.
“As well as researching cars, prospective EV buyers are spending more time researching their local charging network and running costs, using tools to understand how an electric car would fit into their day-to-day lives before taking the plunge.”
The Renault 5, Vauxhall Frontera Electric and the Tesla Model 3 were the most-searched-on EVs, showed the data, but BYD’s Seal showed the biggest increase in enquiry volume month to month.
Volta EV, a distributor of chargepoints, has shared data suggesting the average commuter could save between £135 and £375 a year depending on their charging method, compared to driving a petrol car.
Away from the UK, it is clear consumers globally are looking to go electric.
EV sales have risen across Southeast Asia, reports AFP, with Vietnam’s top EV producer, Vinfast, seeing a 127 percent surge in annual sales in March on home soil. Meanwhile, Tesla rival BYD has also seen sales rising in Japan and Philippines, although they have fallen in China.
“There are signs that global demand has already picked up substantially,” Capital Economics noted, while saying EV registrations had more than doubled in March in Japan, South Korea and New Zealand, and had risen by more than 50 percent in India and Australia.