- ECG UNLIKELY TO IMPACT USED EV PRICES
- BUSINESS RATES HIKE WARNING FROM HIGH STREET RETAILERS
- HR OWEN CLOSES BODYSHOP, PARTNERS WITH STEER
- BATTERY RECYCLING CONSORTIUM SECURES £8.1m FUNDING
- WEEK AHEAD: public sector net borrowing
- FTSE HITS RECORD HIGH
- THE STARTUP WORKAHOLICS
- EU TARIFF PESSIMISM AS TRUMP DEMANDS UP TO 20% MINIMUM
- AUSTRALIAN RETAILERS LOSE AGENCY APPEAL
- OPINION: Grants alone won’t drive long term EV adoption
ECG unlikely to impact used EV prices
The Electric Car Grant – previewed in last week’s Auto Sunday – should boost new EV sales, but is unlikely to either heavily or immediately impact used EV pricing and residual values, according to Autotrader data.
Indeed, commercial director Ian Plummer said Autotrader observed the surge in interest in new EVs also flowing into used EVs “as we know the majority of those considering electric will shop both new and used cars”.
Pricing data still shows a significant gap between new EVs and 2-3-year-old cars “as market forces have caused used EVs to match petrol and diesel alternatives to attract buyers.
“New government actions will mainly impact the new car market, including by probably forcing pricing actions on new EVs of brands not eligible for the incentives but needing to keep pace with their competitors.
“But whilst attractively priced used EVs are still well below new models, it’s unlikely they will see further price reductions, at least in the short term.”
Although details of which vehicles will be eligible for the Electric Car Grant are still to be confirmed, south coast retail group Hendy is encouraging customers to register their interest at retailers “so that they can be notified of the discounts as soon as they are confirmed by the government.
“The best part is that consumers don’t need to do anything to get the discount. As soon as the government has announced which vehicles are eligible, the saving will be automatically passed on to the buyer.”
Business rates hike warning from high street retailers
A planned increase in business rates for large stores and supermarkets would “add to inflation at the worst possible moment”, British Retail Consortium chief executive Helen Dickinson has warned.
From April 2026, supermarkets and department stores will pay higher business rates in order to reduce the bills faced by smaller ones. The changes will disproportionally hit properties with a rateable value above £500k. Analysts anticipate a £600m hike in the tax bill faced by large retailers.
Dickinson told The Sunday Times that many businesses were “already at breaking point” and dealing with the “knock-on effects” of Reeves’ increase in employers’ national insurance by £25bn a year from April.
HR Owen closes bodyshop, partners with Steer
HR Owen is to close its Bodytechnics bodyshop in Sough in favour of a partnership with Steer Automotive Group. Steer is understood to be expanding its luxury division and will support HR Owen’s network of retailers.
HR Owen aftersales director Sean Nevatte called it a “commercial decision to relinquish our Bodytechnics facility… we are excited to be partnering with Steer Automotive’s expanding Luxury Division; a business exceptionally well-positioned to exclusively support the specialist bodywork requirements of our brands and customers across all H.R. Owen locations.”
Steer calls itself the UK’s leading automotive repair business.
Battery recycling consortium secures £8.1m funding
Project Comet is a new UK-based battery recycling consortium that has now secured £8.1m in funding – including a £4.05m grant from the Advanced Propulsion Centre UK. The goal is to pioneer a circular low-carbon battery recycling supply chain for EVs, and an onshore refining process for lithium, cobalt and nickel.
JLR, Mint Innovation, Recyclus Group’s LiBatt Recycling and WMG at the University of Warwick are all part of the consortium.
WEEK AHEAD
Tuesday, public sector net borrowing
Friday, GFK consumer confidence
Friday, retail sales
DATA INSIGHT
FTSE hits record high
9,000: Upward barrier broken by the FTSE 100 on Tuesday. It was the highest level in the index’s 40-year history. It is up almost 10% year-to-date.
The startup workaholics
996: The work mantra of some startup founders: 9am to 9pm, six days a week. The Sunday Times has reported on the ‘hustle culture’ – and how opinion appears firmly divided on social media. One founder criticised the “fetishisation’ of relentless work. “It’s really dangerous because it only leads to burnout.”
GLOBAL AUTO
EU tariff pessimism as Trump demands up to 20% minimum
The FT reports Donald Trump has escalated his demands in trade negations with the EU and is pushing for a minimum tariff of 15% to 20% in any deal. In the past few weeks, there had been talks on a framework that would have maintained a baseline 10% tariff.
EU trade commissioner Maros Sefcovic “gave a downbeat assessment of his recent talks in Washington to the bloc’s ambassadors on Friday”.
Australian retailers lose agency appeal
Australia’s Federal Court has rejected an appeal by 36 Mercedes-Benz retailers who were reportedly seeing $680m AUD in compensation for alleged lost goodwill from the OEM in its switch from franchise to the agency sales model.
“Australian dealers have been fighting to stop Mercedes-Benz using their power over franchised dealers to force them into one-sided business relationships,” said AADA CEO James Voortman. “Today’s decision is a significant blow to that fight which will have detrimental effects on Australia’s franchising sector.”
* Read AADA’s statement in full
OPINION
Grants alone won’t drive long term EV adoption
The new incentives for electric cars are welcome news for a market that has cooled noticeably in recent times. Retailers and manufacturers alike will breathe a sigh of relief at renewed consumer interest, driven by fresh financial support. But we’ve been here before. The Plug-in Car Grant succeeded in getting hesitant buyers over the line, only for sales momentum to falter when funding ended abruptly.
What’s to stop history repeating itself with the new Electric Car Grant?
Grants are undeniably effective as a short-term accelerant. They soften the upfront cost difference between petrol cars and EVs, giving price-sensitive buyers a final nudge and show the Government is serious about the transition to an EV-only future. But they are fundamentally a sticking plaster policy. When the funding ends – and it always does – the market snaps back to underlying realities. Electric cars remain expensive, infrastructure remains patchy and taxation remains skewed toward fleets.
If the Government truly wants to futureproof EV adoption, it must embed confidence into the retail environment beyond temporary discounts. First, charging infrastructure must become so reliable, visible and affordable that charge anxiety vanishes from mainstream buyers’ minds. Second, fiscal policy needs to move decisively: VAT on public charging should be cut to match home energy and road tax should also be rebalanced to accelerate the cost tipping point towards EVs.
Finally, policy must treat the used EV market as central to mass adoption. Retail customers, especially in the middle market, buy used far more than new. Without robust measures to protect and communicate used EV battery health, grant-fuelled new car sales will not translate into long-term confidence for average households.
The lesson from the first plug-in car grant is stark: grants create artificial peaks in demand followed by damaging troughs. The Government must use this funding window to implement structural changes that normalise EVs as the default choice, not the subsidised anomaly. Because when the grant money runs out, only a confident, supported market will keep buyers coming back for more.
Tristan Young
Editorial Director
Get in touch: tristan@autosunday.co.uk
ISSN 2977-6597
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