Biden’s electric car revolution has failed – but Britain can avoid a similar disaster

According to experts in the US, the number of models – currently around 40 – eligible for the tax credit will be drastically reduced.

“The intent of the inflation reduction bill was to make EVs more accessible to the middle class, so it has price caps and income criteria that add to the confusion,” said Michelle Krebs of car company Cox Automotive.

“Obstacle number one is the price. There is also concern about the electric vehicle supply chain.

“Consumers will need help to see if they qualify and if their car qualifies.”

Jessica Caldwell, an analyst at Edmunds Automotive, was also critical.

“The goal here is to increase electric vehicle sales in the US. Obviously it’s not that simple,” she said.

“It gets more complicated by the day and it makes it harder for the consumer to get through this.

“There is confusion about where batteries are made. Right now it’s as clear as mud.”

Cody Lusk, president and CEO of the American International Automobile Dealers Association, said the new rules have “caused confusion” and hopes updates already expected today will clarify the situation.

The reluctance to invest in an electric car has increased supply chain issues dating back to covid.

Cars are generally scarce, as are parts, which has had an impact on the market.

“There is also a pandemic hangover for car buying,” said Chris Galdieri, a professor of politics at Saint Anselm College in New Hampshire.

“It was a matter of hoping that a car was available. Everyone has a friend with a car horror story because they couldn’t find anything.

“Cars have been quite a mess in recent years,” she added.

According to the Alliance for Automotive Innovation, a trade organization, electric cars accounted for 7 percent of new car sales last year.

It fears that the US still lacks the infrastructure to handle rising demand.

Given the enormous distances Americans can travel, charging stations are essential to keep motorists from stranded.

According to the latest figures, there are just over 100,000 charging points for the three million electric vehicles on the road.

An analysis of 3,100 counties and city districts in the US found that 39% had no charging points at all and 63% had fewer than five.

More than half even failed to install one last year.

Lessons for Britain

Britain faces similar challenges, but is striving to use public resources more efficiently.

Chancellor Jeremy Hunt has accused President Biden of leading a “disruptive” global subsidy race with his $400 billion green investment package.

Speaking to The Times, he said he would not go “toe to toe” with the US and EU by paying out billions in subsidies for electric vehicles and other green investments.

Instead of, he announced Wednesday that EV owners will benefit from cheaper electricity rates as part of the government’s move to rebalance gas and electricity prices.

To ensure that there are enough charging points to prevent drivers from being stranded, the government has committed to expanding the network.

EV drivers in the UK are already struggling to make long journeys in their cars due to a lack of charging points.

Charging points will have to charge motorists without specific smartphone apps and subscriptions.

The purchase price of a new electric car is not reduced by a subsidy scheme, although the government is sticking to its plan to phase out petrol car sales by 2030.

Labor has pledged to match the US subsidy, but experts warned it would be detrimental to the UK economy.

Dillon Smith, an energy policy expert at the Center for Policy Studies think tank, said Jeremy Hunt was right to insist on targeted taxpayer support “at a time when the tax burden in the UK is already eye-watering”.

Sam Robinson, a senior research fellow at Bright Blue, another think tank, said the UK economy could be hurt by a lavish US-style spending plan.