£51bn for UK economy if government invests in EVs, report finds

According to a report by the Institute of the Motor Industry (IMI), the government should make a significant investment in electric vehicle (EV) charging infrastructure and upskilling of the UK motor industry, to secure major economic benefits.

The report maintains that 320,000 jobs could be created, along with £51 billion per year through the UK economy, if the government acts strategically to make charging EVs more convenient and to make sure there are enough qualified people to service and repair the vehicles.

The report is due to be presented to a cross-party group of MPs on Wednesday 13 April, by report author Professor Jim Saker and IMI CEO Steve Nash. Nash and Saker will highlight the importance of protecting the economic growth of the motor industry and the safety concerns across the sector.

Saker said: “The UK by the nature of its size and geography has a natural advantage in the rapid adoption of vehicles with the new power train technologies, but it is dependent on government investment to pump prime this initiative. Without proper regulation a skills gap will emerge with only a limited number of technicians working in the franchised sector being able to service and repair new technology vehicles.

“If this trend is found to be true then it is likely that the independent sector of the retail automotive sector will decline. This will mean that the market will fail to open up and develop to the benefit of the UK economy.”

According to figures from the IMI, 81 per cent of independent garages are struggling to recruit highly skilled technicians, suggesting UK retail motor industry is failing to attract young people into technical roles. It argues that a proactive strategy must be established in order for the UK to support the growth of future car technology.

Saker has suggested that the government make it illegal for untrained technicians to work on electric and hybrid cars in order to drive investment in to the necessary training. Figure show that there are only 1,000 technicians in the UK currently qualified with a Level 4 Electric and Hybrid Car Maintenance.

Nash said: “The potential growth for the UK economy is immense, and we are calling on the government to act now in order to reap the financial rewards. To avoid further skills shortages across the sector there is an urgent need for a higher skilled workforce.

“We have seen growth of more than 20 per cent in alternatively fuelled vehicles with Tesla announcing orders of £7 billion in only two days for their new model. It’s vital we take the appropriate steps now if we want to ensure that the UK has the skilled workforce it needs across the whole industry to support and service these vehicles. This will only be possible if appropriate actions are taken with some urgency to avoid a serious and growing skills shortage, most particularly in the non-franchised part of the automotive sector."

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