A £1 billion government funding package to accelerate the adoption of electric vans and trucks is set to cut costs for UK businesses, but industry leaders have warned that a shortage of skilled technicians could limit its impact.
The funding, which supports vehicle purchases and depot charging infrastructure, is designed to help fleets reduce operating costs, improve resilience to fuel price volatility and accelerate decarbonisation.
Funding to cut costs
Under the scheme, businesses can save up to £81,000 on the heaviest zero emission trucks, covering up to 40% of costs, while grants of up to £5,000 remain available for electric vans.
Additional support through the Depot Charging Scheme will allow operators and public bodies to claim up to £1 million towards charging infrastructure, covering as much as 70% of installation costs
The measures are expected to ease two of the biggest barriers to electrification, upfront cost and access to charging, while helping fleets reduce exposure to global fuel price fluctuations.
Minister Keir Mather said:”The logistics sector is the backbone of the UK economy, worth £170 billion and supporting 2.7 million jobs. We’re helping them expand and decarbonise their fleets whilst saving them cash, driving growth up and down the country.”
Skills gap threatens rollout
However, the Institute of the Motor Industry (IMI) has warned that the pace of EV adoption could be constrained by a lack of qualified technicians.
Latest IMI TechSafe data shows only one in four UK technicians are currently qualified to work on electric vehicles, raising concerns about aftersales capacity as fleet electrification accelerates.
Nick Connor, CEO the IMI, said: “This investment is a very positive step and will help remove some of the financial barriers for businesses looking to electrify their fleets. However, funding vehicles and infrastructure is only part of the solution. Without the skilled workforce to maintain, repair and safely handle these vehicles, particularly high-voltage systems and batteries, the transition risks being constrained.
“We cannot afford a mismatch between the number of electric vehicles on the road and the number of qualified technicians able to support them. Targeted government support for training and upskilling is essential to ensure the UK has the capability, confidence and safety standards needed to deliver net zero.
“The IMI continues to work with industry and training providers to expand EV qualifications and support technicians in gaining the skills required for the transition. Together, with the right investment in people as well as technology, the UK can lead the way, but skills must be treated as a core part of the infrastructure.”
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