Electric car charging fund slashed: is going electric still worth it?

Chancellor Rachel Reeves has scrapped a £900m fund that was supposed to speed up installing fast EV chargers at motorway service stations. Instead, they’re putting in £400m over the next five years, focusing more on getting chargers into less wealthy areas.

The original fund was set up back in 2020 under then-PM Rishi Sunak to upgrade power networks along motorways so more electric cars could charge at once. But it never got officially approved and just stalled. Now Reeves has swapped it out for this smaller plan.

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Why it matters for you

If you’re thinking of buying an electric car, or already have one, charging infrastructure matters. Long-distance travel relies heavily on fast, reliable charging at service stations, especially as EVs become more popular. With this cut in funding, critics say there’s a risk the rollout won’t keep pace with growing demand.

Sue Robinson, chief executive of the National Franchised Dealers Association (NFDA), called the decision “disappointing,” warning that a lack of charging points is now the biggest reason drivers are hesitant to make the switch to electric. “Without sufficient charging points, many drivers remain hesitant to make the switch,” Robinson said.

Where is the new money going?

Rather than focusing on motorway services, the new £400m fund will support charging stations in areas that have struggled to attract private investment: often lower-income or rural communities. That shift may help bring EV benefits to a wider range of people, but industry insiders worry it leaves major travel routes underprepared.

John Lewis, CEO of on-street charging provider char.gy, questioned why the full £900m wasn’t redirected toward other electric car initiatives such as on-street charging or consumer incentives. “Couldn’t the full amount have been directed towards the EV effort?” he asked.

EV adoption on the rise, but still behind target

Electric cars made up just over 24% of new car sales in June, according to new SMMT data. That’s a healthy number, but still below the 28% needed this year to meet the Government’s own zero-emission targets.

What’s more, “charge anxiety” – the fear of not being able to find a charger – is now a bigger worry than range anxiety for most would-be EV drivers, a recent Ipsos Mori poll revealed.

“The rapid charging fund was designed to support the rollout of charging infrastructure on motorways and major A roads, but the previous Government did not set out detailed plans to deliver this,” a Department for Transport spokesperson stated.

Even with the funding cut, the UK’s EV charging network is still growing. By May 2025, there were over 80,000 public chargers – a 29% jump from last year, according to data company Zapmap.

The Government says it’s still serious about electric cars and hitting net zero, but this funding change has raised some doubts among drivers and industry experts. As more people switch to electric, making sure there are enough chargers will be key to keeping everyone on board.

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