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Are electric car prices increasing soon due to Brexit?

We're looking at a Smart ForTwo EQ for a 25-mile daily commute in London (given rumblings about the congestion charge zone being extended). We've been quoted what seems like a good price (£14,400) for the base model with metallic paint. This obviously includes the £3000 government grant and includes free wall box installation. The dealer tells us that the £3000 grant will not be available beyond the end of the year, plus any factory orders in 2021 could be subject to a 10% import levy as a result of Brexit. Is this sales patter to get a quick sale?

Asked on 26 October 2020 by thisisbeaker

Answered by Andrew Brady
The grant for electric vehicles is gradually being reduced. The latest £3000 grant for fully-electric vehicles was introduced in March 2020 and, while the Office for Low Emission Vehicles hasn't provided a cut-off date for this grant, it has suggested that it won't be available forever. If the UK fails to secure a trade deal with the EU, the Society of Motor Manufacturers and Traders (SMMT) has warned that the price of EVs could be hiked by an average of £2800. So, while the dealer will be using these figures to encourage a quick sale, they're not entirely baseless.

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