Assurances on battery health could boost used EV sales - report

In their research, AXA UK found that 63 per cent of UK motorists do not plan to buy an electric vehicle, with 37 per cent of that figure citing concerns over battery lifespan as one of the main reasons. In addition, eight per cent of those questioned said they had plans to buy a second-hand EV.

AXA UK believes that battery health certificates could stimulate the used EV market by providing a measure for vehicle value that does not currently exist. According to AXA UK, this could have a positive impact on insurance premiums by making it easier for insurers to accurately assess the value of second-hand EVs in a similar way that mileage is used for ICE vehicles.

From 1 April, new EVs priced over £40,000 will be subject to an annual car tax for five years at a cost of £425, in addition to road tax being introduced for all EVs at £195 per year. Many EVs fall above the £40,000 price mark, so used EVs present an attractive alternative for customers looking to make the switch to electric. However, concerns over battery health, range issues and car values remain prevalent.