Electricity prices must fall for EV drive

The head of the Climate Change Committee has warned the UK government must “urgently” tackle the high cost of electricity as it is hampering the push for EVs. The UK had the highest electricity prices of OECD countries in 2023.

The UK’s marginal pricing system means the wholesale electricity price is set by the most expensive form of generation needed to meet demand – often gas-fired power stations. Levies for policies such as renewable energy are added to costs.