A new report has revealed that two-thirds of vehicles operated by private and public sector organisations in the UK are primed for an electric future, presenting significant cost-saving opportunities. The study, conducted by Geotab Inc., a leader in connected transportation solutions, challenges recent scepticism about the UK’s readiness for electric vehicle (EV) adoption.
The report, titled ‘Taking Charge: On the Road to an EV Future,’ analysed driver data from 1.3 million vehicles across seven countries over the past year. It found that a transition to EVs could lead to a reduction of 2.2 billion gallons of fuel and avoid around 19 million metric tons of CO2 emissions globally over the next seven years.
The UK stands out in the study for its high level of ‘EV suitability.’ This metric, indicating that vehicles are both range-capable and economically advantageous to replace with electric alternatives, places the UK ahead of other countries in the report. Despite this, the UK has been noted for having some of the least generous government incentives compared to its European counterparts. Countries like France, Germany, Italy, and Spain currently offer upfront purchase incentives for EV buyers, whereas the UK government discontinued its Plug-in Car Grant in 2022.
Geotab’s report shows that 66% of light-duty vehicles (cars and vans) in the UK are suitable for electric replacement. This figure reflects the potential for significant financial savings, averaging £13,279 per vehicle over a seven-year replacement cycle. If the period were extended to ten years, the percentage of UK fleet vehicles ready for electric would rise to 73%, due to the longer lifespan and lower maintenance costs associated with EVs.
David Savage, Geotab’s Vice President for the UK and Ireland stated: “The notion that the UK is not prepared for widespread EV adoption is misleading. British businesses should accelerate their fleet electrification strategies—not only to meet environmental and climate goals but also to improve their financial outcomes. An insightful CEO could effectively offset their salary through the savings achieved by transitioning to electric vehicles.”
The ‘Taking Charge’ study leverages real-world telematics data to evaluate the feasibility and benefits of switching from internal combustion engine (ICE) vehicles to EVs. Geotab’s analysis highlights that organisations could see a reduction in total cost of ownership (TCO) of £13,279 per vehicle over seven years. For a fleet of 100 vehicles, this translates to a potential saving of £876,414.
The study utilised Geotab’s EV Suitability Assessment (EVSA) tool, which uses telematics data to tailor EV adoption recommendations based on a fleet’s specific driving patterns and requirements. The tool assesses whether an electric model can meet daily driving needs and whether the switch would be economically beneficial. To be deemed suitable, an EV must meet 98% of daily driving requirements on a single charge and offer a TCO equal to or lower than that of a new ICE vehicle.
The full details of the Geotab report, including the methodology behind these calculations, are available for download. The report underscores the UK’s significant potential for EV fleet adoption and calls for greater support and incentives to facilitate this transition.
For further information and to access the full report, visit Geotab’s website.