Chancellor Healey's £100m help for EV drivers without driveways will barely dent a £1,000-a-year cost gap, experts warn

For the nine million UK drivers without a home charger, running an electric car costs around £1,760 a year — more than £1,000 higher than the £680 paid by those able to charge at home. Chancellor John Healey announced £100m in Wednesday's Budget to reduce costs at slower local public chargers from spring 2027, but the projected saving of roughly £150 a year falls well short of closing the gap. The Budget also left VAT on public charging at 20%, a full 15 points above the domestic rate, which the industry described as a missed opportunity.

Public charging prices have surged since 2021 — up 69% at lower-powered points and 94% at rapid chargers, after inflation.

Healey launched a taskforce to examine whether drivers at local public charge-points could pay the same electricity tariff they receive at home, though the proposal is complicated and will require considerable time to implement.

Industry chief Tanya Sinclair warned the Government cannot claim to be helping motorists 'with one hand while making the transition to electric harder and more expensive with the other.'